Question 1

In a barrier-free organization,differences in skills,authority,and talent disappear.

Accepted Answer

A) True 
 B)False

Question 2

A strategy of related diversification requires most firms to organize around geographical areas or product lines.This type of organizational growth leads to a(n) ________ structure.

Accepted Answer

A)   divisional
B)   functional
C)   matrix
D)   internationalE) A) and D)
F) B) and C)

Question 3

Effective ambidextrous organizations have alignment,which means that

Accepted Answer

A)   employees are rewarded according to both profit and sales growth.
B)   managers are focused on growth opportunities.
C)   there is a clear sense of how value is being created in the short-term and how activities are properly integrated and coordinated.
D)   divisional-level goals are consistent with overall corporate goals.E) B) and C)
F) None of the above

Question 4

Organizations generally tend to become internally focused when faced with ________ and ________.

Accepted Answer

A)   resource scarcity; declining performance
B)   internal pressures; improving performance
C)   resource abundance; declining performance
D)   external pressures; resource abundanceE) A) and B)
F) All of the above

Question 5

Generally speaking discussions of the relationship between strategy and structure strongly imply that

Accepted Answer

A)   strategy follows structure.
B)   structure follows strategy.
C)   strategy can effectively be formulated without considering structural elements.
D)   structure typically has a very small influence on the strategy of a firm.E) B) and C)
F) B) and D)

Question 6

Which of the following is a disadvantage of a functional type of organizational structure?

Accepted Answer

A)   Differences in functional orientation may impede communication and coordination.
B)   Use of managerial and technical talent is inefficient due to pooling of expertise in functional areas.
C)   Decision making is centralized at the top of the organization.
D)   Managers tend to be overly concerned with long-term strategies that minimize the importance of functional area strengths.E) A) and D)
F) C) and D)

Question 7

When an organization with a functional structure diversifies into related product-markets,it generally

Accepted Answer

A)   maintains its functional structure.
B)   develops a divisional structure.
C)   develops a matrix structure.
D)   develops a worldwide product-division structure.E) A) and B)
F) B) and C)

Question 8

Which of the following is an advantage of a divisional type of organizational structure?

Accepted Answer

A)   efficient use of managerial and technical talent
B)   an enhanced ability to respond quickly to changes in the external environment
C)   high degree of emphasis on long-term performance
D)   uniformity in image and quality across divisionsE) A) and B)
F) A) and C)

Question 9

Whole Foods tried to overcome some of the limitations of a divisional structure by

Accepted Answer

A)   decentralizing key activities.
B)   redistributing financial support.
C)   centralizing the purchasing function.
D)   reducing power conflicts.E) A) and B)
F) C) and D)

Question 10

Three major contingencies that influence the chosen structure of a company are: the type of strategy that drives its foreign operations,its product diversity,and the extent to which the company is dependent on foreign sales.

Accepted Answer

A) True 
 B)False

Question 11

Effective ambidextrous organizations maintain adaptability,which means that

Accepted Answer

A)   managers are focused on growth opportunities.
B)   there is a clear sense of how value is being created in the short-term and how activities are properly integrated and coordinated.
C)   divisional-goals are consistent with overall corporate goals.
D)   managers must remain proactive in expanding and/or modifying their product-market scope to anticipate and satisfy market conditions.E) A) and B)
F) A) and C)

Question 12

As firms expand into foreign markets,they generally follow a pattern of change in structure that parallels the changes in their strategies.Which one of the following is not a major contingency that influences the structure they choose?

Accepted Answer

A)   the type of strategy that is driving the company foreign operations
B)   the research and development budget commitment
C)   product diversity
D)   the extent of the company dependence on foreign salesE) C) and D)
F) B) and D)

Question 13

Explain why firms that achieve both adaptability and alignment are considered ambidextrous organizations.

Accepted Answer

The concept of ambidexterity incorporate...

Question 14

What is the name of the practice that many modular organization use to grow?

Accepted Answer

A)   operational effectiveness
B)   outsourcing
C)   strategic leveraging
D)   strategic enablingE) None of the above
F) A) and B)

Question 15

A global start-up faces many management challenges including

Accepted Answer

A)   communication and coordination across time zones.
B)   pressure to perform internally all primary activities of the value chain.
C)   assuring financing from home country only.
D)   hiring only from home country.E) A) and B)
F) All of the above

Question 16

Which of the following is considered an advantage of a matrix structure?

Accepted Answer

A)   the layering of matrices
B)   increased clarity in reporting relationships
C)   increased responsiveness to the market
D)   fewer power struggles and reduced conflictE) C) and D)
F) B) and D)

Question 17

Operational decision making in a large business places excessive demands on top management of the firm.

Accepted Answer

A) True 
 B)False

Question 18

What type of organization is defined as a central hub surrounded by networks of outside suppliers and specialists?

Accepted Answer

A)   matrix organization
B)   virtual organization
C)   modular organization
D)   barrier-free organizationE) A) and B)
F) A) and C)

Question 19

Which of the following is not a boundaryless organizational design?

Accepted Answer

A)   virtual
B)   modular
C)   matrix
D)   barrier-freeE) A) and B)
F) A) and C)

Question 20

Communication and information technologies can plan an important role in bridging gaps and breaking down barriers between organizations.Firms can leverage ________ and ________ to facilitate automated communications and coordinated actions with suppliers,distributers,and other firm partners.

Accepted Answer

A)   email; social media.
B)   telephone systems; outsourced systems
C)   point-of-sale inventory systems; RFID technology
D)   cloud systems; banking.E) A) and B)
F) None of the above

Exam 10: Creating Effective Organizational Designs

A strategy of related diversification requires most firms to organize around geographical areas or product lines.This type of organizational growth leads to a(n) ________ structure.

Correct AnswerverifiedShow Answer

Organizations generally tend to become internally focused when faced with ________ and ________.

Correct AnswerverifiedShow Answer

As firms expand into foreign markets,they generally follow a pattern of change in structure that parallels the changes in their strategies.Which one of the following is not a major contingency that influences the structure they choose?

Correct AnswerverifiedShow Answer

Communication and information technologies can plan an important role in bridging gaps and breaking down barriers between organizations.Firms can leverage ________ and ________ to facilitate automated communications and coordinated actions with suppliers,distributers,and other firm partners.

Correct AnswerverifiedShow Answer

What type of organization is defined as a central hub surrounded by networks of outside suppliers and specialists?

Correct AnswerverifiedShow Answer

What is the name of the practice that many modular organization use to grow?

Correct AnswerverifiedShow Answer

Three major contingencies that influence the chosen structure of a company are: the type of strategy that drives its foreign operations,its product diversity,and the extent to which the company is dependent on foreign sales.

Correct AnswerverifiedShow Answer

Generally speaking discussions of the relationship between strategy and structure strongly imply that

Correct AnswerverifiedShow Answer

A global start-up faces many management challenges including

Correct AnswerverifiedShow Answer

When an organization with a functional structure diversifies into related product-markets,it generally

Correct AnswerverifiedShow Answer

Effective ambidextrous organizations have alignment,which means that

Correct AnswerverifiedShow Answer

Effective ambidextrous organizations maintain adaptability,which means that

Correct AnswerverifiedShow Answer

Which of the following is considered an advantage of a matrix structure?

Correct AnswerverifiedShow Answer

Which of the following is a disadvantage of a functional type of organizational structure?

Correct AnswerverifiedShow Answer

Which of the following is not a boundaryless organizational design?

Correct AnswerverifiedShow Answer

Which of the following is an advantage of a divisional type of organizational structure?

Correct AnswerverifiedShow Answer

Whole Foods tried to overcome some of the limitations of a divisional structure by

Correct AnswerverifiedShow Answer

Operational decision making in a large business places excessive demands on top management of the firm.

Correct AnswerverifiedShow Answer

In a barrier-free organization,differences in skills,authority,and talent disappear.

Correct AnswerverifiedShow Answer

Explain why firms that achieve both adaptability and alignment are considered ambidextrous organizations.

Correct AnswerverifiedThe concept of ambidexterity incorporate...View AnswerShow Answer

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Organizations generally tend to become internally focused when faced with and .

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Communication and information technologies can plan an important role in bridging gaps and breaking down barriers between organizations.Firms can leverage and to facilitate automated communications and coordinated actions with suppliers,distributers,and other firm partners.

Correct Answer
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The concept of ambidexterity incorporate...
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