Question 1

Describe the virtual organizational form.How and why are organizations choosing to implement this approach to organizing? Provide examples of organizations that have used a virtual organizational structure.

Accepted Answer

The virtual organizational form is a str...

Question 2

A major disadvantage of adopting a divisional structure is the tendency for managers to focus on short-term objectives.

Accepted Answer

A) True 
 B)False

Question 3

When an organization with a simple structure increases its sales revenue and volume of outputs,it is most likely to develop a ______________ structure.

Accepted Answer

A)   divisional
B)   functional
C)   product-market
D)   geographicE) A) and B)
F) None of the above

Question 4

If an international firm has a multidomestic strategy and a relatively high level of product diversity,the best choice for its organizational structure is ______________ structure.

Accepted Answer

A)   a worldwide functional
B)   a worldwide product division
C)   a worldwide matrix
D)   an international divisionE) A) and B)
F) A) and C)

Question 5

According to author,Jeffrey Pfeffer,which of the following is not an advantage of teams?

Accepted Answer

A)   Teams interact so closely and therefore coordination and integration becomes unnecessary.
B)   Teams substitute peer-based control for hierarchical control of work.
C)   Teams often develop more creative solutions, because they share.
D)   Teams permit the absorption of administrative tasks previously performed by specialists.E) None of the above
F) All of the above

Question 6

Discuss the uses and limitations of the modular organizational structure.What is the role of outsourcing in the modular organization?

Accepted Answer

The modular organizational structure is ...

Question 7

According to the text,boundaryless organizational structures are most effective when they replace rather than complement traditional organizational structures.

Accepted Answer

A) True 
 B)False

Question 8

The strategic business unit (SBU)and holding company structure are variants of the functional form of structure.

Accepted Answer

A) True 
 B)False

Question 9

The virtual type of organization is a network of independent companies linked together to share skills,costs,and access to the markets of each other.

Accepted Answer

A) True 
 B)False

Question 10

Different types of boundaries place limits on organizations in order to foster high degrees of interaction with inside influences and varying levels of permeability.

Accepted Answer

A) True 
 B)False

Question 11

As firms grow,owner managers often need to hire functional specialists to handle the increased information-processing burden.

Accepted Answer

A) True 
 B)False

Question 12

Managers trained in rigid hierarchies do not find it difficult to transition to participative style required for effective teamwork.

Accepted Answer

A) True 
 B)False

Question 13

Discuss how changes in the current workforce and the business environment have contributed to growth in the use of boundaryless organizational designs.

Accepted Answer

Changes in the current workforce and the...

Question 14

Virtual organizations ______________ whereas modular organizations _____________.

Accepted Answer

A)   are usually permanent; are usually temporary
B)   accept interdependent destinies; pursue collective strategies
C)   pursue collective strategies; forfeit strategic control
D)   give up part of their strategic control; retain full strategic controlE) A) and D)
F) None of the above

Question 15

Which of the following is not an advantage of a strategic business unit (SBU) type of organizational structure?

Accepted Answer

A)   Divisions with similar products, markets, or technologies are formed into homogeneous groups that can achieve synergies.
B)   Divisional executives can respond quickly to market changes and opportunities.
C)   Planning and control by the corporate office is more manageable.
D)   The corporate office is more removed from the individual divisions.E) None of the above
F) B) and C)

Question 16

If a firm outsources some parts of its value chain in order to reduce costs and increase quality and at the same time engages in multiple alliances to penetrate new markets,this is a example of a firm using a ______________ of organizational types.

Accepted Answer

A)   combination
B)   boundaryless consortium
C)   bounded consortium
D)   barrier free collectionE) A) and D)
F) A) and B)

Question 17

A matrix organization is organized strictly along product lines.

Accepted Answer

A) True 
 B)False

Question 18

Which of the following is not a disadvantage of virtual structures?

Accepted Answer

A)   difficulty in individual and organizational knowledge sharing
B)   potential loss of operational control among partners
C)   loss of strategic control over emerging technology
D)   difficulty in determining where one company ends and another begins due to close interdependenciesE) A) and D)
F) B) and D)

Question 19

According to the text,the factor that most distinguishes a superior team from a good team is talent.

Accepted Answer

A) True 
 B)False

Question 20

A simple structure is characterized by _____________.

Accepted Answer

A)   high specialization and low centralization
B)   low specialization and high centralization
C)   low formality and low creativity
D)   high formality and low centralizationE) All of the above
F) B) and D)

Exam 10: Creating Effective Organizational Designs

If a firm outsources some parts of its value chain in order to reduce costs and increase quality and at the same time engages in multiple alliances to penetrate new markets,this is a example of a firm using a ______________ of organizational types.

Correct AnswerverifiedShow Answer

The strategic business unit (SBU)and holding company structure are variants of the functional form of structure.

Correct AnswerverifiedShow Answer

Which of the following is not an advantage of a strategic business unit (SBU) type of organizational structure?

Correct AnswerverifiedShow Answer

According to the text,boundaryless organizational structures are most effective when they replace rather than complement traditional organizational structures.

Correct AnswerverifiedShow Answer

Discuss how changes in the current workforce and the business environment have contributed to growth in the use of boundaryless organizational designs.

Correct AnswerAnswered by ExamLex AIChanges in the current workforce and the...View AnswerShow Answer

A matrix organization is organized strictly along product lines.

Correct AnswerverifiedShow Answer

According to author,Jeffrey Pfeffer,which of the following is not an advantage of teams?

Correct AnswerverifiedShow Answer

A simple structure is characterized by _____________.

Correct AnswerverifiedShow Answer

According to the text,the factor that most distinguishes a superior team from a good team is talent.

Correct AnswerverifiedShow Answer

The virtual type of organization is a network of independent companies linked together to share skills,costs,and access to the markets of each other.

Correct AnswerverifiedShow Answer

Describe the virtual organizational form.How and why are organizations choosing to implement this approach to organizing? Provide examples of organizations that have used a virtual organizational structure.

Correct AnswerAnswered by ExamLex AIThe virtual organizational form is a str...View AnswerShow Answer

A major disadvantage of adopting a divisional structure is the tendency for managers to focus on short-term objectives.

Correct AnswerverifiedShow Answer

If an international firm has a multidomestic strategy and a relatively high level of product diversity,the best choice for its organizational structure is ______________ structure.

Correct AnswerverifiedShow Answer

Virtual organizations ______________ whereas modular organizations _____________.

Correct AnswerverifiedShow Answer

Discuss the uses and limitations of the modular organizational structure.What is the role of outsourcing in the modular organization?

Correct AnswerAnswered by ExamLex AIThe modular organizational structure is ...View AnswerShow Answer

Managers trained in rigid hierarchies do not find it difficult to transition to participative style required for effective teamwork.

Correct AnswerverifiedShow Answer

Which of the following is not a disadvantage of virtual structures?

Correct AnswerverifiedShow Answer

Different types of boundaries place limits on organizations in order to foster high degrees of interaction with inside influences and varying levels of permeability.

Correct AnswerverifiedShow Answer

As firms grow,owner managers often need to hire functional specialists to handle the increased information-processing burden.

Correct AnswerverifiedShow Answer

When an organization with a simple structure increases its sales revenue and volume of outputs,it is most likely to develop a ______________ structure.

Correct AnswerverifiedShow Answer

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Changes in the current workforce and the...
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The virtual organizational form is a str...
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Virtual organizations __ whereas modular organizations _.

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The modular organizational structure is ...
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