Topic 3 Organizing the business

Question 1

What defines organizational structure? (A) Job assignments (B) Reporting lines (C) Both jobs and relationships (D) Company culture (E) Profit centers

Answer 1

C

Question 2

Organization charts primarily show: (A) Salary info (B) Reporting relationships (C) Employee skills (D) Market share (E) Company history

Answer 2

B

Question 3

Primary factor influencing structure: (A) Company age (B) Mission/strategy (C) CEO preference (D) Stock price (E) Office layout

Answer 3

B

Question 4

Job specialization means: (A) Eliminating jobs (B) Identifying specific tasks (C) Grouping employees (D) Creating committees (E) Reducing workload

Answer 4

B

Question 5

Departmentalization involves: (A) Firing staff (B) Grouping jobs (C) Centralizing power (D) Reducing costs (E) Increasing hierarchy

Answer 5

B

Question 6

Product departmentalization groups by: (A) Functions (B) Goods/services (C) Process steps (D) Customer types (E) Regions

Answer 6

B

Question 7

Geographic departmentalization uses: (A) Product lines (B) Locations (C) Job titles (D) Salary levels (E) Skill sets

Answer 7

B

Question 8

Decentralized orgs are typically: (A) Tall (B) Flat (C) Very large (D) Rigid (E) Temporary

Answer 8

B

Question 9

Centralized orgs usually have: (A) Few layers (B) Many layers (C) No managers (D) Temp staff (E) External decisions

Answer 9

B

Question 10

Responsibility refers to: (A) Decision power (B) Task obligation (C) Reporting lines (D) Dept goals (E) Company vision

Answer 10

B

Question 11

Authority is: (A) Task duty (B) Decision power (C) Job title (D) Salary level (E) Experience

Answer 11

B

Question 12

Line authority flows: (A) Horizontally (B) Diagonally (C) Upward only (D) Downward only (E) Up/down chain

Answer 12

E

Question 13

Staff authority involves: (A) Direct control (B) Advising (C) Profit goals (D) Hiring/firing (E) Budget control

Answer 13

B

Question 14

Most small firms use: (A) Divisional (B) Functional (C) Matrix (D) International (E) Team

Answer 14

B

Question 15

Divisional structure uses: (A) Functions (B) Products (C) Locations (D) Customers (E) Any product-based

Answer 15

E

Question 16

Team structures feature: (A) Fixed hierarchy (B) Multiple bosses (C) Project focus (D) Geo units (E) Central control

Answer 16

C

Question 17

Informal organization is: (A) Policies (B) Social interactions (C) Job descriptions (D) Charts (E) Rules

Answer 17

B

Question 18

Intrapreneurship maintains: (A) Bureaucracy (B) Small-business flexibility (C) Strict rules (D) Central control (E) Formal processes

Answer 18

B

Question 19

Chain of command represents: (A) Workflow (B) Authority flow (C) Social ties (D) Pay grades (E) Skill levels

Answer 19

B

Question 20

Org charts help with: (A) Profit calculation (B) Clarifying structure (C) Marketing (D) Recruiting (E) Inventory

Answer 20

B

Question 21

Structure depends on: (A) Size (B) Environment (C) Strategy (D) All above (E) None above

Answer 21

D

Question 22

Specialization benefit: (A) Less training (B) More managers (C) Higher pay (D) Fewer departments (E) Smaller offices

Answer 22

A

Question 23

Customer departmentalization: (A) By location (B) By product type (C) By buyer groups (D) By process (E) By function

Answer 23

C

Question 24

Process departmentalization: (A) By task sequence (B) By products (C) By customers (D) By region (E) By function

Answer 24

A

Question 25

Multiple forms of dept: (A) Rarely used (B) Used by large firms (C) Only for manufacturing (D) Not recommended (E) For small firms only

Answer 25

B

Question 26

Flat organizations: (A) More centralized (B) More decentralized (C) More bureaucratic (D) More formal (E) More hierarchical

Answer 26

B

Question 27

Tall organizations: (A) Fewer layers (B) More layers (C) No hierarchy (D) Flexible (E) Temporary

Answer 27

B

Question 28

Accountability means: (A) Assigning tasks (B) Answering for results (C) Making decisions (D) Controlling budgets (E) Setting goals

Answer 28

B

Question 29

Delegation process: (A) Assign-Grant-Create (B) Plan-Organize-Control (C) Hire-Train-Evaluate (D) Buy-Sell-Profit (E) Lead-Inspire-Motivate

Answer 29

A

Question 30

Committee authority: (A) Individual decisions (B) Group decisions (C) CEO only (D) External only (E) No decisions

Answer 30

B

Question 31

Line departments: (A) Support functions (B) Core operations (C) External partners (D) Temporary teams (E) Consultants

Answer 31

B

Question 32

Functional structure: (A) For global firms (B) For small/medium firms (C) For startups only (D) For non-profits (E) For governments

Answer 32

B

Question 33

Divisional advantage: (A) Shared resources (B) Independent evaluation (C) Less competition (D) Smaller size (E) Central control

Answer 33

B

Question 34

Virtual organizations: (A) No formal structure (B) Rigid structure (C) Many layers (D) Centralized (E) Bureaucratic

Answer 34

A

Question 35

Grapevine is: (A) Formal network (B) Informal network (C) Company policy (D) Job manual (E) Org chart

Answer 35

B

Question 36

Product champion: (A) Top executive (B) Middle manager (C) External consultant (D) New hire (E) Investor

Answer 36

B

Question 37

Org structure specifies: (A) Only job titles (B) Only workflows (C) Jobs and relationships (D) Only pay scales (E) Only departments

Answer 37

C

Question 38

Solid lines in org charts show: (A) Informal ties (B) Friendships (C) Reporting lines (D) Social groups (E) External partners

Answer 38

C

Question 39

External factors affecting structure: (A) Competition (B) Technology (C) Regulations (D) All above (E) None above

Answer 39

D

Question 40

Specialization leads to: (A) Job expertise (B) More meetings (C) Larger offices (D) Higher turnover (E) More managers

Answer 40

A

Question 41

Functional departmentalization: (A) By process (B) By product (C) By activity (D) By customer (E) By location

Answer 41

C

Question 42

Matrix structure combines: (A) Product and function (B) Formal and informal (C) Large and small (D) Profit and non-profit (E) Local and global

Answer 42

A

Question 43

Global firms often use: (A) Only functional (B) Only product (C) Mixed departmentalization (D) No departments (E) Temporary departments

Answer 43

C

Question 44

Wide span of control: (A) More supervision (B) Less supervision (C) Tall structure (D) Centralized (E) Bureaucratic

Answer 44

B

Question 45

Narrow span of control: (A) Flat structure (B) More layers (C) Decentralized (D) Informal (E) Temporary

Answer 45

B

Question 46

Effective delegation requires: (A) Authority=Responsibility (B) More managers (C) Less training (D) Smaller teams (E) Fewer skills

Answer 46

A

Question 47

Three delegation steps: (A) Responsibility-Authority-Accountability (B) Plan-Organize-Staff (C) Lead-Control-Motivate (D) Hire-Train-Promote (E) Buy-Sell-Advertise

Answer 47

A

Question 48

Staff members: (A) Make final decisions (B) Provide expertise (C) Run departments (D) Set strategy (E) Control budgets

Answer 48

B

Question 49

Team authority: (A) Individual-based (B) Group-based (C) CEO-only (D) Shareholder-based (E) Customer-based

Answer 49

B

Question 50

Divisional structure: (A) Autonomous units (B) Central control (C) Shared functions (D) Temporary (E) Informal

Answer 50

A

Question 51

Learning organization focuses on: (A) Strict rules (B) Continuous improvement (C) Central control (D) Formal hierarchy (E) Fixed processes

Answer 51

B

Question 52

Team-based org: (A) Fixed departments (B) Project-focused (C) Geographic (D) Customer-only (E) Supplier-focused

Answer 52

B

Question 53

Informal groups: (A) Official (B) Social (C) Temporary (D) External (E) Virtual

Answer 53

B

Question 54

Sponsor in intrapreneurship: (A) New hire (B) Top manager (C) Consultant (D) Investor (E) Customer

Answer 54

B

Question 55

Formal organization: (A) Shown in charts (B) Hidden (C) Temporary (D) External (E) Virtual

Answer 55

A

Question 56

Dotted lines in org charts show: (A) Chain of command (B) Advisory relationships (C) Social ties (D) Pay grades (E) Skill levels

Answer 56

B