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Research shows that the structure of an organization should be revised when it reaches a specific size.

A) True
B) False

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Companies that focus on a low-cost producer strategy believe that people will pay more for a product that is unique in some way.

A) True
B) False

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As teams become a more common form for organizing work,which organizational structure is becoming more popular?


A) Client-based
B) Cross-border
C) Geographic
D) Matrix
E) Product

F) B) and D)
G) C) and D)

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When 'Candies R Us' groups its business units according to where they do business such as the North America division,Europe division,the Asia division,or the Africa division,it is creating which of the following organizational structures?


A) Client-based
B) Product
C) Geographic
D) Functional
E) Simple

F) C) and E)
G) D) and E)

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At Modern Technology,employees are grouped according to their functional expertise as well as the different key product lines that they are working on.Hence,the company has simultaneously created a combination of a functional and a product structure.This is an example of which organizational structure?


A) Conglomerate
B) Matrix
C) Geographic
D) Global
E) Simple

F) A) and B)
G) A) and C)

Correct Answer

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All of the following are elements of an organizational structure,except?


A) Work specialization.
B) Simple structure.
C) Chain of command.
D) Span of control.
E) Formalization.

F) All of the above
G) D) and E)

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What steps can an organization take to reduce the negative effects of restructuring efforts on employees? Explain.

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The negative effects are highe...

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If decision-making is passed down to lower-level employees,and these employees feel empowered to make decisions on their own,that organization is described as having a _________ structure.


A) wide
B) decentralized
C) reciprocal
D) narrow
E) centralized

F) A) and B)
G) B) and E)

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Low-cost producers are more likely to take which approach to organizational design?


A) Mechanistic
B) Global
C) Multi-divisional
D) Matrix
E) Organic

F) All of the above
G) A) and B)

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Span of control is associated with which of the following?


A) The degree to which tasks in an organization are divided into separate jobs.
B) Answers the question of 'Who reports to whom?' and signifies formal authority relationships.
C) The level at which decisions are formally made in organizations.
D) Each manager represents how many employees he/she is responsible for in the organization.
E) The degree to which rules and procedures are used to standardize behaviours and decisions in an organization.

F) A) and E)
G) B) and E)

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A _____ structure is a flat organization with one person as the central decision-making figure.


A) functional
B) product
C) client-based
D) simple
E) matrix

F) B) and E)
G) B) and C)

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Which of the following describes CurlyHair's organizational structure?


A) Client-based
B) Product
C) Geographic
D) Functional
E) Matrix

F) A) and B)
G) A) and C)

Correct Answer

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Which of the following describes True Colours' organizational structure?


A) Client-based
B) Product
C) Geographic
D) Functional
E) Matrix

F) A) and E)
G) All of the above

Correct Answer

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Employees tend to be more satisfied with jobs that require them to perform a specialized kind of activity.

A) True
B) False

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At ABC Manufacturing Inc. ,employees are grouped according to their expertise.All marketing employees are in one department,all finance employees are grouped in another department and similarly,all human resources and manufacturing employees are in their respective departments.ABC has which of the following structures?


A) Client-based
B) Product
C) Geographic
D) Functional
E) Simple

F) None of the above
G) B) and D)

Correct Answer

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Small companies evolve into functionally based structures as they grow larger.

A) True
B) False

Correct Answer

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Why do so many organizations restructure today through flattening?


A) Research shows that it improves employee morale
B) It provides more rewards for fewer employees
C) To increase efficiency
D) It creates a government subsidy qualification
E) To increase their skilled labour pool

F) D) and E)
G) A) and C)

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The first step in adapting to the environment is:


A) restructuring
B) recognizing the need to change
C) evaluating the external environment
D) evaluating the internal environment
E) exploring the competitor's structures

F) All of the above
G) A) and D)

Correct Answer

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Two common strategies that affect organizational design are low-cost producer and high-cost producer.

A) True
B) False

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Many restructuring efforts are designed to remove one or more organizational layers to reduce costs.

A) True
B) False

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