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Exam 7: Organizing the Business Enterprise

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Question 131

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When many employees perform the same simple task, a wide span of control is feasible.

A) True
B) False

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Question 132

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Centralized organizations usually have wide spans of control with a lot of delegation taking place.

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B) False

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Question 133

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Which of the following is the best explanation of a matrix structure? Teams are formed in which employees report to two or more managers. A matrix structure is based on the geographical area of the world. A matrix occurs when one firm purchases another and combines the staff activities. A matrix occurs when the organization is restructuring from a tall to a flat organization. A matrix divides the organization into divisions, each of which operates as a semi-autonomous unit.

What is the informal organization?

Scott has reviewed the organizational structure of his company and found that there is a lot of specialization within each area, employees seem to have clearly defined career paths, and that there is little duplication of activities. He is most likely working in a company with a(n) ________ structure. international divisional functional conglomerate matrix

Because the grapevine carries so much inaccurate information, managers should ignore it.

Once a task has been assigned to a subordinate, the subordinate owes the manager delegation. span of control. authority. responsibility. accountability.

What are the advantages and disadvantages of departmentalization by geography?

In recent years, a consensus has emerged among managers that the divisional structure is more effective than the functional structure.

Bright Products has vice-presidents for Europe, North America, and Asia. How is Bright Products departmentalized?

Departmentalization is the process of creating separate profit centres. creating separate revenue centres. developing an organization chart. creating chains of command. grouping jobs into logical units.

Many managers have trouble delegating tasks to others.

Interstate Insurance is looking to upgrade the company's information technology. Information technology is used for a variety of purposes, so the company needs to prioritize its needs and find out in what areas the company needs to improve its information technology. Interstate's head of human resources claims that the company needs to focus on improvements in the software available to employees. Which of the following, if true, would strengthen her position? Many Interstate employees complain of slow, outdated computer hardware. Interstate has been slow to upgrade its employees' web browsers with the latest versions. The company's IT department spends a large portion of its time upgrading software. Interstate's business has been weak recently due to an industry slowdown. Most of Interstate's sales are done by means of personal selling.

What type of authority is held by specialists in areas such as law, accounting, and human resource management? __________

Bob has had some problems with some of the tasks that he has assigned to his subordinates not getting completed properly. The most likely problem would be that he has assigned authority without assigning responsibility or accountability. he has not assigned authority, accountability, or responsibility. he has assigned responsibility and accountability without giving the necessary authority. he has assigned authority and responsibility without assigning accountability. none of these.

Organization charts show the formal and informal organization structure of an organization.

Scott's management style is one where he gets his subordinates heavily involved in department activities. After assigning specific tasks he follows up with them to be sure that they are completing the assigned activities. What is the name for the duty that Scott believes his subordinates owe him? Span of control Responsibility Authority Delegation Accountability