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Exam 8: Structuring Organizations for Todays Challenges

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Question 21

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An advantage of a tall organization is that it ensures fast and efficient communications throughout the organization.

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Question 22

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The grapevine refers to the formal channel used for confidential communications between members of top management.

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Cross-functional teams that go beyond company boundaries share production information but seldom market information.

An organization's core competencies are those functions that the firm performs as well as or better than anyone else in the world.

Describe two major issues that are important in organizational design.

The __________ is the system of relationships that develop spontaneously as employees meet and form power centers.

The organizational structure of the U.S.Army's 1^st Infantry Division provides for direct two-way lines of responsibility,authority,and communication running from the top to the bottom.Additionally,each person in the division reports to only one superior.The 1^st Infantry Division is clearly an example of an) :

Division of labor is difficult to achieve in small businesses.

Max Weber believed that promotion should be based solely on seniority.

When management structures the organization,it makes decisions about which products and services it will offer and how it is going to finance the company.

In an inverted organization,the purpose of management is to assist and support the decisions of employees who work directly with customers.

Henri Fayol and Max Weber are best known for their contributions to:

The ___________ is the nerve center of the informal organization.

Mike prepared a paper for his class about organizational styles used in business.He found that one reason the traditional bureaucratic style is less popular than in the past is that:

The team experts in a matrix organization remain part of the traditional line-and-staff structure.

Assigning various functions that a firm might do for itself to outside organizations is known as competitive allocation.

A line organization in a large business often suffers from excessively slow lines of communication.

Organizational culture refers to the widely shared values within a corporation that foster unity and cooperation.

In the Making Ethical Decisions box,titled,"Safety versus Profit",which of the following statements best forms the theme of this passage?

A virtual corporation refers to a permanent network of firms linked by high-tech communication systems.