Chapter 10 - NIKLAS HILLE STADION STICKER OUTFIT

Question 1

1) Researchers have determined that stable, mechanistic organizational structures are always the most effective.
TRUE
FALSE

Answer 1

False

Question 2

2) Determining the best choice for organizational structure relies in part on the characteristics of an organization’s human resources.
TRUE
FALSE

Answer 2

Answer: TRUE
Explanation: The characteristics of the organization’s human resources are one of the four factors that are important determinants of the type of organizational structure or culture managers select.

Question 3

3) Increasing the number and variety of tasks in a given job is likely to increase the degree to which employees behave mechanically.
T
F

Answer 3

Answer: FALSE
Explanation: Managers who make design choices that increase job enrichment and job enlargement are likely to increase the degree to which people behave flexibly rather than rigidly or mechanically.

Question 4

4) When pursuing a multidomestic strategy, managers are likely to adopt a global geographic structure.

Answer 4

Answer: TRUE
Explanation: In adopting a global geographic structure, managers locate different divisions in each of the world regions where the organization operates. Managers are most likely to do this when they pursue a multidomestic strategy because customer needs vary widely by country or world region.

Question 5

5) A primary feature of a matrix organizational structure is that it creates rigid, simplified reporting relationships among teams and functions.

Answer 5

Answer: FALSE
Explanation: The result of a matrix structure is a complex network of reporting relationships among product teams and functions that makes the matrix structure very flexible

Question 6

6) As the hierarchy of an organization becomes taller, the organization may become less flexible.

Answer 6

Answer: TRUE
Explanation: As a hierarchy becomes taller, problems that make the organization’s structure less flexible and slow managers’ response to changes in the organizational environment may result.
Difficulty: 2 Medium

Question 7

7) Decentralizing authority empowers employees and allows them to behave in a flexible way even as the organization hierarchy grows.

Answer 7

Answer: TRUE
Explanation: Decentralizing authority allows an organization and its employees to behave in a flexible way even as the organization grows and becomes taller.

Question 8

8) Direct contact and liaison roles provide sufficient coordination when multiple functions or divisions must work together on common goals and problems

Answer 8

Answer: FALSE
Explanation: When more than two functions or divisions share many common problems, direct contact and liaison roles may not provide sufficient coordination. In these cases, a more complex integrating mechanism, such as a task force, may be appropriate.

Question 9

9) Organizational culture is shaped in part by the personal and professional characteristics of people within the organization.

Answer 9

Answer: TRUE
Explanation: Organizational culture is shaped by the interaction of four main factors: the personal and professional characteristics of people within the organization, organizational ethics, the nature of the employment relationship, and the design of its organizational structure.

Question 10

10) Adaptive organizational cultures focus on short-term employment to meet the immediate needs of the business rather than on inspiring employees for growth and change.

Answer 10

Answer: FALSE
Explanation: Adaptive cultures are those whose values and norms help an organization build momentum and to grow and change.

Question 11

11) Organizational ________ is/are the formal system of task and job reporting relationships that determine(s) how employees use resources to achieve organizational goals.
A) design
B) culture
C) structure
D) strategy
E) values

Answer 11

C
Explanation: Organizational structure refers to the formal system of task and job reporting relationships that determines how employees use resources to achieve organizational goals.

Question 12

12) Employees at Pinnacle share the belief that every product defect is the responsibility of the entire organization to resolve, regardless of which team may have caused the defect. This shared belief is an aspect of Pinnacle’s organizational
A) structure.
B) culture.
C) design.
D) strategy.
E) enrichment.

Answer 12

Answer: B
Explanation: Organizational culture refers to the shared set of beliefs, values, and norms that influence how people and groups work together to achieve organizational goals.

Question 13

13) Managers at a start-up company are working to identify the reporting structures and culture that will best enable employees to accomplish the goals of the company as it grows. What process are the managers undertaking?
A) forward vertical integration
B) job enlargement
C) contingency planning
D) job enrichment
E) organizational design

Answer 13

Answer: E
Explanation: Organizational design is the process by which managers create a specific type of organizational structure and culture.

Question 14

14) What characteristics of an organizational structure and culture are best suited to achieving a cost-leadership strategy?
A) informal, with managers promoting innovation
B) formal, with employees having control over activities
C) formal, with managers incentivizing employee autonomy
D) informal, with managers having control over activities
E) formal, with managers having control over activities

Answer 14

Answer: E
Explanation: A low-cost strategy usually fares best in a more formal structure, with managers having greater control over the activities of the organization’s departments.

Question 15

15) To obtain scarce resources given a rapidly changing and uncertain external environment, what would you recommend managers do?
A) Establish restrictive norms to guide employee activities.
B) Centralize authority.
C) Use a mechanistic form of organizing.
D) Maintain control of employee activities.
E) Create an entrepreneurial culture.

Answer 15

Answer: E
Explanation: Managers are more likely to create an entrepreneurial culture when the external environment is quickly changing and resources are scarce.

Question 16

uncertainty, managers are most likely to
A) decentralize authority.
B) encourage employee autonomy.
C) cultivate an entrepreneurial culture in the organization.
D) establish norms that emphasize change and innovation.
E) use detailed rules, SOPs, and restrictive norms to govern employees’ activities.

Answer 16

Answer: E
Explanation: When the external environment is stable and resources are readily available, managers are more likely to use detailed rules, SOPs, and restrictive norms to govern employees’ activities.

Question 17

17) When an organization is competing in a stable market environment with resources readily available,
A) less coordination and communication are needed among functions.
B) an entrepreneurial culture will be encouraged.
C) managers typically design more flexible organizational structures.
D) authority is likely to be decentralized.
E) lower-level employees are given autonomy to make important operating decisions.

Answer 17

Answer: A
Explanation: If the external environment of an organization is stable, resources are readily available, and uncertainty is low, then less coordination and communication among people and functions are needed to obtain resources.

Question 18

18) A ________ strategy that is aimed at increasing perceived value of goods and services by the customer usually fares best in a more ________ structure and a culture of innovation.
A) low-cost; formal
B) differentiation; stable
C) differentiation; flexible
D) vertical integration; formal
E) low-cost; informal

Answer 18

Answer: C
Explanation: A differentiation strategy aimed at increasing the value customers perceive in an organization’s goods and services usually succeeds best in a flexible structure with a culture that values innovation.

Question 19

19) The more complicated the technology that an organization uses,
A) the lesser the need for a progressive culture.
B) the greater the need for a flexible structure.
C) the greater the need for rules, SOPs, and restrictive norms.
D) the easier it is to regulate the technology.
E) the lesser the need for creative problem solving.

Answer 19

Answer: B
Explanation: The more complicated the technology, the greater is the need for a flexible structure and progressive culture to enhance managers’ ability to respond to unexpected situations—and give them the freedom and desire to work out new solutions to the problems they encounter.

Question 20

20) ________ is the combination of skills, knowledge, machines, and computers that are used to produce and distribute goods and services.
A) Human resources
B) Technology
C) Organizational design
D) Job design
E) Strategy

Answer 20

Answer: B
Explanation: The skills knowledge, machines, and computers used to design, make, and distribute goods and services are referred to as technology.

Question 21

21) The use of routine technology is
A) ideal for organizations facing unexpected or novel problems regularly.
B) unsuitable for organizations with numerous programmed solutions available.
C) one factor that makes organizational control more difficult.
D) the best choice for a company that uses an organic structure.
E) best suited for organizations that encounter limited new or unexpected situations.

Answer 21

Answer: E
Explanation: Routine technology is characterized by low task variety, the number of new or unexpected situations, and high task analyzability, the degree to which programmed solutions are available. Nonroutine technology makes regulation and control within an organization more difficult and works best in a flexible organizational structure.

Question 22

22) Task ________ is the degree to which programmed solutions are available to people or functions to solve the problems they encounter.
A) flexibility
B) specialization
C) autonomy
D) variety
E) analyzability

Answer 22

Answer: E
Explanation: Task analyzability is the degree to which programmed solutions are available to people or functions to solve the problems they encounter.

Question 23

23) Each day a computer engineer is faced with unexpected or unique problems that require him to take initiative and identify creative solutions not fully addressed in existing procedures. This environment could be characterized as having
A) routine technology.
B) a flexible organizational structure.
C) low task variety.
D) high task analyzability.
E) a formal organizational structure.

Answer 23

Answer: B
Explanation: The more complicated the technology, the greater is the need for a flexible structure and progressive culture to enhance managers’ ability to respond to unexpected situations—and give them the freedom and desire to work out new solutions to the problems they encounter.

Question 24

24) Employees at a hedge fund company are all highly skilled and demonstrate strong professional values. What would be the best structure for this company?
A) a mechanistic, informal structure between functional groups
B) an organizational hierarchy, with authority concentrated at the top of the organization
C) a behavioral culture, governed by strict rules, SOPs, and norms
D) an authoritative structure, with managers expected to actively monitor and control activities
E) a decentralized organization, where employees are empowered and given autonomy

Answer 24

Answer: E
Explanation: An organization that has a highly skilled workforce is more likely to have a culture based on values that foster employee autonomy.

Question 25

25) The greater the level of uncertainty in an organization’s environment,
A) the more complex its strategy and technologies.
B) the less qualified and skilled its workforce.
C) the less likely employees are to be given autonomy.
D) the more likely managers are to design a mechanistic structure.
E) the more likely the culture is rigid and inflexible.

Answer 25

Answer: A
Explanation: The greater the level of uncertainty in the organization’s environment, the more complex its strategy and technologies.

Question 26

26) ________ is the process by which managers decide how to divide tasks into a specific division of labor.
A) Job design
B) Job enlargement
C) Span of control
D) Task analyzability
E) Job integration

Answer 26

Answer: A
Explanation: Job design is the process by which managers decide how to organize the tasks that workers need to do into the jobs that are needed to produce the organization’s goods or services.

Question 27

27) The goal of the job design process is to
A) place employees in specific positions.
B) create an efficient division of labor among employees.
C) reduce the number of roles available.
D) increase the number of tasks performed by each employee.
E) minimize job specialization.

Answer 27

Answer: B
Explanation: The result of the job design process is a division of labor among employees.

Question 28

28) Teagan works at a local manufacturing company. Recently, the company decided to reassign some of her responsibilities to a new employee. What impact may this have on the company if Teagan finds her responsibilities too simple?
A) There will be a high employee demand for redesigned roles.
B) It will reduce job monotony.
C) It will reduce efficiency.
D) It will increase the level of performance by all employees.
E) It will increase efficiency, which will lead to overproduction.

Answer 28

Answer: C
Explanation: Too much job simplification may reduce efficiency rather than increase it if workers find their simplified jobs boring and monotonous, become demotivated and unhappy, and, as a result, perform at a low level.

Question 29

29) ________ is increasing the number of different tasks in a given job by changing the division of labor.
A) Job simplification
B) Job enlargement
C) Job enrichment
D) Span of control
E) Job autonomy

Answer 29

Answer: B
Explanation: Job enlargement is increasing the number of different tasks in a given job by changing the division of labor.

Question 30

30) Enrique noticed that Corey, an automotive technician at his repair shop, seemed bored to be repeatedly performing oil changes, so Enrique gave him the additional duty of repairing tires. This is an example of
A) job simplification.
B) job enrichment.
C) job enlargement.
D) span of control.
E) task analyzability.

Answer 30

Answer: C
Explanation: Job enlargement is increasing the number of different tasks in a given job by changing the division of labor.

Question 31

31) Judy’s manager asked her to take the lead on learning a new software program. He empowered her to engage the necessary team members and develop a proposal on how it could be leveraged. This is an example of
A) job enlargement.
B) job simplification.
C) job enrichment.
D) span of control.
E) task analyzability.

Answer 31

Answer: C
Explanation: Job enrichment is increasing the degree of responsibility a worker has over a job by, for example, (1) empowering workers to experiment to find new or better ways of doing the job, (2) encouraging workers to develop new skills, (3) allowing workers to decide how to do the work and giving them the responsibility for deciding how to respond to unexpected situations, and (4) allowing workers to monitor and measure their own performance. The idea behind job enrichment is that increasing workers’ responsibility increases their involvement in their jobs and thus improves their interest in the quality of the goods they make or the services they provide.

Question 32

32) To increase the degree of responsibility workers have over their jobs, managers should
A) encourage workers to continue using previously established methods of doing a job.
B) allow workers to monitor and measure their own performance.
C) encourage workers to hone their current skills rather than develop new skills.
D) give workers detailed instructions to help them do their work.
E) encourage workers to turn to their superiors when faced with unexpected situations.

Answer 32

Answer: B
Explanation: Job enrichment is increasing the degree of responsibility a worker has over a job by, for example, allowing workers to decide how to do the work and giving them the responsibility for deciding how to respond to unexpected situations.

Question 33

33) The reasoning behind the concept of job enrichment is that
A) increasing workers’ responsibility increases their involvement in their jobs.
B) increasing the range of tasks performed by a worker reduces boredom and fatigue.
C) increasing the number of tasks performed by a worker reduces the need for additional human resources.
D) reducing the number of tasks that each worker performs simplifies their jobs.
E) reducing workers’ responsibility reduces the work-related stress accompanying their jobs.

Answer 33

Answer: A
Explanation: The idea behind the concept of job enrichment is that increasing workers’ responsibility increases their involvement in their jobs and, thus, improves their interest in the quality of the goods they make or the services they provide.

Question 34

34) ________ is the degree to which a position requires a worker to use a wide range of knowledge and abilities.
A) Task identity
B) Task significance
C) Job autonomy
D) Skill variety
E) Job feedback

Answer 34

Answer: D
Explanation: Skill variety is the extent to which a job requires that an employee use a wide range of different skills, abilities, or knowledge.

Question 35

35) ________ is the extent to which a job requires that a worker perform the necessary activities to complete a job, from the beginning to the end of production.
A) Skill variety
B) Task identity
C) Task significance
D) Division of labor
E) Autonomy

Answer 35

Answer: B
Explanation: Task identity is the extent to which a job requires that a worker perform all the tasks necessary to complete the job, from the beginning to the end of the production process.

Question 36

36) An example of task significance would be
A) a worker feeling her job is meaningful because it makes the efforts of the entire team more efficient.
B) a division of labor resulting in an employee owning the production process from the beginning to the end.
C) an employee empowered to decide what tasks are needed and how they will be done.
D) a job requiring the use of a wide range of different skills, abilities, and knowledge.
E) a manager that meets weekly with an employee to provide clear, direct information about employee performance.

Answer 36

Answer: A
Explanation: Task significance is the degree to which a worker feels his or her job is meaningful because of its effect on people inside the organization, such as coworkers, or on people outside the organization, such as customers.

Question 37

37) José works for a company where he is given the freedom to decide how best to carry out the tasks assigned to him. It can be said that José’s job has high
A) skill variety.
B) task identity.
C) task significance.
D) feedback.
E) autonomy.

Answer 37

Answer: E
Explanation: Autonomy is the degree to which a job gives an employee the freedom and discretion needed to schedule different tasks and decide how to carry them out.

Question 38

38) Deborah works for a telecommunications company, and she prides herself on the fact that her job duties help keep the emergency service phone line operating, which ultimately saves lives. Deborah’s sentiment reflects
A) task significance.
B) task identity.
C) feedback.
D) skill variety.
E) autonomy.

Answer 38

Answer: A
Explanation: Task significance is the degree to which a worker feels his or her job is meaningful because of its effect on people inside or outside of the organization.

Question 39

39) Jennie started working as a hostess at a local restaurant one month ago. She feels like she is doing a good job but would like to know what her manager thinks about her performance. What job characteristic is Jennie’s role lacking?
A) task identity
B) feedback
C) autonomy
D) task significance
E) skill variety

Answer 39

Answer: B
Explanation: Feedback is the extent to which actually doing a job provides a worker with clear and direct information about how well he or she has performed the job.

Question 40

40) According to Hackman and Oldham’s job characteristics model, what type of employee would most likely be satisfied and perform at a high level?
A) an employee focused on a specialized task and not the full production process
B) an employee not expected to learn new skills
C) an employee in an organization where authority is centralized
D) an employee allowed to work in total seclusion
E) an employee responsible for his or her own work outcomes

Answer 40

Answer: E
Explanation: According to Hackman and Oldham’s job characteristics model, the more employees can use a range of skills and knowledge, are involved in the end-to-end production process, are responsible for work outcomes and responsible for knowing how those outcomes affect others, and are given feedback, the more motivating work becomes and the more likely employees are to be satisfied and to perform at a high level.

Question 41

41) An organizational chart of a company shows vice presidents with responsibility for key areas such as design, manufacturing, sales, marketing, and after-sales support. This reflects a ________ structure.
A) product
B) matrix
C) product team
D) functional
E) market

Answer 41

Answer: D
Explanation: A functional structure refers to an organizational structure composed of all the departments that an organization requires to produce its goods or services.

Question 42

42) A company’s product is very complex, and there is value in having employees develop deep expertise in each aspect of the production process. Which organizational structure would foster deep, specialized knowledge?
A) functional
B) divisional
C) matrix
D) market
E) product

Answer 42

Answer: A
Explanation: When people who perform similar jobs are grouped together, they can learn from observing one another and thus become more specialized and can perform at a higher level.

Question 43

43) A ________ structure simultaneously groups people and resources by function and by product.
A) matrix
B) market
C) product
D) functional
E) divisional

Answer 43

Answer: A
Explanation: A matrix structure refers to an organizational structure that simultaneously groups people and resources by function and by product.

Question 44

44) Why might an organization choose a divisional structure?
A) to create smaller, more manageable units within the organization
B) to facilitate specialization of skills and knowledge throughout the production process
C) to permanently assign employees to cross-functional teams
D) to group people and resources by function and product simultaneously
E) to enhance feedback processes by establishing dual reporting relationships

Answer 44

Answer: A
Explanation: The goal behind changing to a divisional structure is to create smaller, more manageable units within the organization.

Question 45

45) Right Hand Inc.’s company structure is designed to provide focus to each distinct industry the company serves. This is an example of a ________ structure.
A) geographic
B) matrix
C) product
D) functional
E) cross-functional

Answer 45

Answer: C
Explanation: When managers organize divisions according to the type of good or service they provide, they adopt a product structure.

Question 46

46) What would motivate managers to design an organization using a product structure?
A) to empower product teams
B) to have managers develop their skills in each specific product area
C) to understand how differences in products are perceived in different national markets
D) to connect each product team to the specific customers its serves
E) to enable employees to develop deep expertise in production process activities

Answer 46

Answer: B
Explanation: A product structure allows functional managers to specialize in only one product area, so they can build expertise and fine-tune their skills in this particular area.

Question 47

47) Temp Services has offices in different locations around the country. Each office is self-contained and caters to the needs of the specific region in which it is located. This is an example of a ________ structure.
A) market
B) divisional
C) product
D) functional
E) geographic

Answer 47

Answer: E
Explanation: When managers organize divisions according to the area of the country or world they operate in, they adopt a geographic structure

Question 48

48) When managers organize divisions based solely on the type of customer they focus on, they adopt a ________ structure.
A) product
B) geographic
C) market
D) functional
E) product team

Answer 48

Answer: C
Explanation: When managers organize divisions according to the type of customer they focus on, they adopt a market structure.

Question 49

49) Maria reports to Jeff. Jeff’s team specializes in programming features for mobile phones. Maria is also accountable to Connie, the product team manager, who is responsible for a new device being developed. This is an example of a ________ structure.
A) functional
B) product team
C) customer
D) divisional
E) matrix

Answer 49

Answer: E
Explanation: In a matrix structure, managers group people and resources in two ways simultaneously: by function and by product.

Question 50

50) The term “two-boss employee” is associated with a ________ organizational structure.
A) product
B) matrix
C) geographic
D) functional
E) divisional

Answer 50

Answer: B
Explanation: Team members in a matrix structure are known as two-boss employees.

Question 51

51) A ________ structure provides an organization with the most flexibility, but easier to operate.
A) functional
B) product
C) matrix
D) geographic
E) product team

Answer 51

Answer: E
Explanation: In a product team structure, managers have devised a way of organizing people and resources that still allows an organization to be flexible but makes its structure easier to operate.

Question 52

52) As a dietician working for a food company, Nalini is assigned to a team developing a new line of organic snack bars. She reports to both the Nutritional Standards manager and the Organic Snack Bar manager. Nalini’s company is utilizing a ________ structure.
A) matrix
B) functional
C) customer
D) product
E) market

Answer 52

Answer: A
Explanation: In a matrix structure, managers group people and resources in two ways simultaneously: by function and by product.

Question 53

53) How is flexibility ensured in the matrix structure?
A) by empowering product teams to make most of the important product decisions
B) by making managers responsible for making most of the important product decisions
C) by focusing groups on specific areas of expertise
D) by connecting geographic regions to every product team
E) by minimizing conflicts between functional and product demands

Answer 53

Answer: A
Explanation: To keep the matrix structure flexible, product teams are empowered and team members are responsible for making most of the important decisions involved in product development.

Question 54

54) A cross-functional team is a(n)
A) group of employees cross-trained in all tasks required to produce a product.
B) organizational structure in which each type of customer is served by a self-contained division.
C) group of managers brought together from different departments to perform organizational tasks.
D) organizational structure in which each region is served by a self-contained division.
E) organizational structure in which each product line is handled by a self-contained division.

Answer 54

Answer: C
Explanation: A cross-functional team refers to a group of managers brought together from different departments to perform organizational tasks.

Question 55

55) The hierarchy of authority in an organization is referred to as its
A) chain of command.
B) integrating mechanisms.
C) span of control.
D) degree of autonomy.
E) management succession.

Answer 55

Answer: A
Explanation: The hierarchy of authority is an organization’s chain of command—the relative authority that each manager has.

Question 56

56) To coordinate the activities of people, functions, and divisions and to allow them to work together effectively, managers must develop a clear
A) product structure.
B) product line.
C) span of control.
D) functional structure.
E) hierarchy of authority.

Answer 56

Answer: E
Explanation: To coordinate the activities of people, functions, and divisions and to allow them to work together effectively, managers must develop a clear hierarchy of authority.

Question 57

57) ________ refers to the number of subordinates who report directly to a manager.
A) Chain of command
B) Authority
C) Economies of scale
D) Span of control
E) Autonomy

Answer 57

Answer: D
Explanation: The term span of control refers to the number of subordinates who report directly to a manager.

Question 58

58) The principle of ________ calls for managers to design a hierarchy with the fewest levels of authority necessary to efficiently and effectively use organizational resources.
A) minimum chain of command
B) unity of command
C) self-managed teams
D) centralization of power
E) dual command

Answer 58

Answer: A
Explanation: The principle of the minimum chain of command states that top managers should always construct a hierarchy with the fewest levels of authority necessary to efficiently and effectively use organizational resources.

Question 59

59) In designing the company structure, the managers chose to ________ and gave lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources.
A) minimize their span of control
B) centralized authority
C) minimize the chain of command
D) decentralize authority
E) maximize the chain of command

Answer 59

Answer: D
Explanation: Decentralizing authority is giving lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources.

Question 60

60) Organizations can increase the flexibility in their hierarchy by
A) decreasing the span of control.
B) increasing the number of levels of management.
C) decentralizing authority.
D) using dual command.
E) decreasing autonomy.

Answer 60

Answer: C
Explanation: A way in which managers can keep the organizational hierarchy flat is by decentralizing authority. Fewer managers are needed because their role is not to make decisions but to act as coach and facilitator and to help other employees make the best decisions.

Question 61

61) Managers increase coordination among functions and divisions by
A) establishing liaison roles.
B) creating more managerial levels.
C) developing a taller organizational structure.
D) reducing the span of control.
E) implementing a mechanistic organizational structure.

Answer 61

Answer: A
Explanation: Managers can increase coordination among functions and divisions by establishing liaison roles.

Question 62

62) Managers from multiple functions can come together as part of a ________ to solve a specific corporatewide problem.
A) self-managed team
B) virtual team
C) chain of command
D) task force
E) product team structure

Answer 62

Answer: D
Explanation: A task force is a committee of managers from different functions or divisions formed to solve a specific, mutual problem.

Question 63

63) Organizational ________ is the shared set of beliefs, expectations, values, and norms that influence how members of an organization relate to one another and cooperate to achieve organizational goals.
A) hierarchy
B) structure
C) design
D) culture
E) intelligence

Answer 63

Answer: D
Explanation: Organizational culture is the shared set of beliefs, expectations, values, and norms that influence how members of an organization relate to one another and cooperate to achieve organizational goals.

Question 64

64) Benito’s company operates phone systems in many foreign countries. It has a zero-tolerance policy for paying any incentives or kickbacks to local politicians to smooth the way for necessary building permits. This policy is an example of organizational
A) design.
B) intelligence.
C) autonomy.
D) culture.
E) ethics.

Answer 64

Answer: E
Explanation: Organizational ethics are the moral values, beliefs, and rules that establish the appropriate way for an organization and its members to deal with each other and with people outside the organization.

Question 65

65) Dahlia works for a large company in the petroleum industry. It is a centralized organization with many levels of authority. What best describes the company’s organizational culture?
A) Managing by exception is a common practice.
B) Innovation is a priority.
C) Emphasis is placed on obeying authority.
D) Employees may have too much decision-making responsibility.
E) Flexibility is valued.

Answer 65

Answer: C
Explanation: In a tall, centralized organization, people have little personal autonomy, and norms that focus on being cautious, obeying authority, and respecting traditions emerge because predictability and stability are desired goals.

Question 66

66) Trisha works for a company where authority is decentralized, and there are only three levels in her chain of command. What best describes the company’s organizational culture?
A) It limits empowerment.
B) It rewards cautiousness and minimizing risk.
C) It values obeying authority.
D) It encourages innovation and autonomy.
E) It is relatively rigid.

Answer 66

Answer: D
Explanation: In a flat, decentralized structure, people have more freedom to choose and control their own activities, and norms that focus on being creative and courageous and taking risks appear, giving rise to a culture in which innovation and flexibility are desired goals.

Question 67

67) ________ cultures exhibit values and norms that help an organization build momentum and evolve as needed to achieve goals and be effective.
A) Mechanistic
B) Entrepreneurial
C) Inert
D) Normative
E) Adaptive

Answer 67

Answer: E
Explanation: Adaptive cultures are those whose values and norms help an organization to build momentum and to grow and change as needed to achieve its goals and be effective.

Question 68

68) A(n) ________ organizational culture focuses on driving employees to meet immediate business needs without investing in ongoing employee development and long-term job satisfaction.
A) entrepreneurial
B) flexible
C) inert
D) normative
E) adaptive

Answer 68

Answer: C
Explanation: Inert cultures are those whose values and norms fail to motivate or inspire employees; they lead to stagnation and, often, failure over time.

Question 69

69) A(n) ________ culture promotes entrepreneurship, empowers employees to make decisions, and motivates them to succeed.
A) mechanistic
B) centralized
C) adaptive
D) normative
E) inert

Answer 69

Answer: C
Explanation: An adaptive culture develops an emphasis on entrepreneurship and respect for the employee and allows the use of organizational structures, such as the cross-functional team structure, that empower employees to make decisions and motivate them to succeed.

Question 70

70) In a(n) ________ culture, employees are happy to take instruction and have little incentive or motivation to perform beyond minimum work requirements.
A) inert
B) entrepreneurial
C) adaptive
D) normative
E) active

Answer 70

Answer: A
Explanation: In an inert culture, employees are content to be told what to do and have little incentive or motivation to perform beyond minimum work requirements.

Question 71

71) The culture at Quantum Sound Solutions focuses on empowering its employees and makes use of cross-functional teams. What type of culture is this?
A) ethical
B) mechanistic
C) adaptive
D) normative
E) inert

Answer 71

Answer: C
Explanation: An adaptive culture develops an emphasis on entrepreneurship and respect for the employee and allows the use of organizational structures, such as the cross-functional team structure, that empower employees to make decisions and motivate them to succeed.

Question 72

72) Kendra works for a pharmaceutical company. She directly manages three employees and she reports to a regional manager. Kendra’s position is as a(n) ________ manager.
A) executive
B) assistant
C) delegating
D) line
E) staff

Answer 72

Answer: D
Explanation: A line manager is someone in the direct line or chain of command who has formal authority over people and resources.

Question 73

73) Lewis is responsible for all installation activities at a large utility company. He would be considered a ________ manager.
A) task force
B) zone
C) assistant
D) line
E) staff

Answer 73

Answer: E
Explanation: A staff manager is responsible for one of the company’s specialist functions, such as finance or marketing.

Question 74

74) Daniella manages a cafe that now offers online ordering and pickup for customers. The number of online orders is increasing, and she is determining how best to allocate tasks among her employees to become more efficient. Daniella is addressing
A) division of labor.
B) job simplification.
C) hierarchy of authority.
D) span of control.
E) job enrichment.

Answer 74

Answer: A
Explanation: Establishing an appropriate division of labor among employees is a critical part of the organizing process, one that is vital to increasing efficiency and effectiveness.

Question 75

75) The COO at Stevens Distribution asks the top managers to redesign their organization to reduce the number of managers. This will help
A) centralize authority.
B) create a mechanistic structure.
C) maintain an entrepreneurial culture.
D) initiate a tall organizational structure.
E) minimize the chain of command.

Answer 75

Answer: E
Explanation: The principle of the minimum chain of command—which states that top managers should always construct a hierarchy with the fewest levels of authority necessary to efficiently and effectively use organizational resources.

Question 76

76) A pet supply company organized its divisions according to the type of customers they serve. This organization is using a ________ structure.
A) geographic
B) product
C) market
D) functional
E) span of control

Answer 76

Answer: C
Explanation: When managers organize divisions according to the type of customer they focus on, they adopt a market structure.

Question 77

77) ________ is a strategy managers can use to increase an employee’s level of responsibility to improve his or her interest in the quality of outputs.
A) Job enlargement
B) Job enrichment
C) Span of control
D) Task significance
E) Task identity

Answer 77

Answer: B
Explanation: Job enrichment is increasing the degree of responsibility a worker has over his or her job.

Question 78

78) Bridgette is not a manager but is expected to make important decisions about how to leverage organizational resources. When she needs another perspective, Bridgette consults with her manager. This demonstrates
A) cross-functional team structure.
B) centralized authority.
C) decentralized authority.
D) maximum span of control.
E) minimum chain of command.

Answer 78

Answer: C
Explanation: Decentralizing authority is giving lower-level managers and nonmanagerial employees the right to make important decisions about how to use organizational resources. Fewer managers are needed because their role is not to make decisions but to act as coach and facilitator and to help other employees make the best decisions.

Question 79

79) A large, multidomestic organization recently adopted a geographic structure, with numerous divisions. What mechanism would best increase communication and coordination between divisions in this complex structure?
A) liaison roles
B) task forces
C) cross-functional teams
D) integrating roles
E) ad hoc committees

Answer 79

Answer: D
Explanation: The greater the complexity of an organization’s structure, the greater is the need for coordination among people, functions, and divisions to make the organizational structure work efficiently and effectively. Thus when managers adopt a divisional, matrix, or product team structure, they must use complex integrating mechanisms. The more complex an organization and the greater the number of its divisions, the more important integrating roles are.

Question 80

80) A(n) ________ culture develops an emphasis on close supervision and hierarchical authority.
A) adaptive
B) self-managed
C) inert
D) normative
E) ethical

Answer 80

Answer: C
Explanation: In an inert culture, employees are content to be told what to do and have little incentive or motivation to perform beyond minimum work requirements. The emphasis is on close supervision and hierarchical authority, which result in a culture that makes it difficult to adapt to a changing environment.

Question 81

81) In an inert organizational culture,
A) poor working relationships frequently develop between the organization and its employees.
B) the organization tries to avoid layoffs.
C) the organization emphasizes long-term employment.
D) employees regularly receive rewards for their performance.
E) values and norms help the organization build momentum.

Answer 81

Answer: A
Explanation: If a company has an inert culture, poor working relationships frequently develop between the organization and its employees, and instrumental values of noncooperation, laziness, and loafing and work norms of output restriction are common.

Question 82

82) When designing an organizational structure in a business with high levels of uncertainty, a(n) ________ structure is best.
A) adaptive
B) job simplification
C) tall organizational
D) mechanistic
E) inert

Answer 82

Answer: A
Explanation: In general, the higher level of uncertainty associated with a business environment, the more appropriate is a flexible, adaptable structure as opposed to a formal, rigid one.

Question 83

83) Rosa is assigned new projects to be completed each week. She determines how best to approach each one, only consulting with her manager for project clarification or assistance with road blocks. Rosa’s job demonstrates
A) minimal skill variety.
B) high feedback.
C) low task identity.
D) high autonomy.
E) low task significance.

Answer 83

Answer: D
Explanation: The degree to which a job gives an employee discretion to schedule different tasks and decide how to carry them out is the job characteristic of autonomy.

Question 84

84) Vijay, who works in the marketing department, meets monthly with a colleague from the research department to ensure marketing stays apprised of any potential new technologies. Vijay is performing a(n) ________ role.
A) task force
B) liaison
C) cross-functional
D) chain of command
E) integrating

Answer 84

Answer: B
Explanation: When the volume of contacts between two functions increases, one way to improve coordination is to give one manager in each function the responsibility for coordinating with the other

Question 85

85) A furniture store’s employees have historically held distinct roles in either showroom sales or order processing and fulfilment services. What would be the best strategy for the company to adopt in order to have employees participate in both aspects of the business?
A) job enrichment strategy
B) job simplification strategy
C) self-managed team strategy
D) cross-functional team strategy
E) job enlargement strategy

Answer 85

Answer: E
Explanation: Job enlargement is increasing the number of different tasks in a given job by changing the division of labor.

Question 86

86) Discuss why different business strategies often call for the use of different organizational structures and cultures.

Answer 86

: Differentiation strategies aimed at increasing the value customers perceive in an organization’s goods and services usually succeeds best in a flexible structure with a culture that values innovation; flexibility facilitates a differentiation strategy because managers can develop new or innovative products quickly—an activity that requires extensive cooperation among functions or departments. In contrast, a low-cost strategy that is aimed at driving down costs in all functions usually fares best in a more formal structure with more conservative norms, which gives managers greater control over the activities of an organization’s various departments.