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Which of the following statements accurately describes the difference between tall and flat organizations?


A) Tall organizations have lower administrative costs when compared to flat organizations.
B) Tall organizations have a narrow span of management,whereas in flat organizations the span of management is wide.
C) Communication is faster in tall organizations when compared to flat organizations.
D) Flat organizations employ more number of managers compared to tall organizations.
E) Managers in tall organizations spend more time supervising and working with subordinates when compared to managers in flat organizations.

F) A) and C)
G) None of the above

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The more complex organizations become,the less they need to develop formal structures to function efficiently.

A) True
B) False

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Which of the following is a temporary group of employees,usually chosen for their expertise,responsible for bringing out a particular change?


A) Interest group
B) Committee
C) Union
D) Cooperative
E) Task force

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

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Multinational corporations often use a geographical approach to departmentalization because:


A) they lack resources.
B) of vast differences between different regions.
C) they want to avoid duplication of tasks.
D) they require a small administrative staff.
E) of their ability to standardize products and services.

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

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Which of the following is true of organizational culture?


A) Organizational culture exists only in large organizations that have more than 500 employees.
B) Organizational culture is different from corporate culture.
C) Organizational culture is more commonly expressed informally.
D) Organizational culture cannot be expressed formally through mission statements,memos,or manuals.
E) Organizational culture is a visual display of an organizational structure,lines of authority,and staff relationships.

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

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A project manager informing his or her subordinates of the organization's new policies and code of conduct would be an example of _____.


A) upward communication
B) informal communication
C) horizontal communication
D) diagonal communication
E) downward communication

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

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Which of the following is a disadvantage of geographical departmentalization?


A) It focuses on an organization as a whole rather than emphasizing on departmental units.
B) It prohibits specialization among employees.
C) It results in duplication of tasks.
D) It is limited to small organizations.
E) It is inefficient when businesses want to quickly respond to regional customers.

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

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Which of the following is an advantage of decentralization?


A) It does not require low-level managers to be highly skilled in decision making.
B) It is highly effective when risky decisions have to be made.
C) It allows businesses to improve their responsiveness and enhance creativity.
D) It increases the levels of management within an organization.
E) It results in a tall organizational structure.

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

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_____ is usually preferred when the decisions of a company are very risky and low-level managers lack decision-making skills.


A) Liberalization
B) Delegation of authority
C) Centralization
D) Employee empowerment
E) Specialization

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

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Multidivisional structures:


A) are less likely to provide products that meet the needs of customers.
B) organize departments into larger groups called divisions.
C) bring together specialists from various divisions to work on a single project.
D) make decision making slower.
E) are traditional and less innovative.

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

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Which of the following is an advantage of job specialization?


A) It allows workers to specialize in a variety of skills.
B) It enables workers to perform their work more quickly and efficiently.
C) It can never lead to dissatisfaction and boredom among employees.
D) It completely eliminates the need for departmentalization within an organization.
E) It requires employees to perform more than one task within a firm.

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

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An organizational form that is based on direct lines of authority from the top executive to the lowest level of employees is called a:


A) line structure.
B) web structure.
C) line-and-staff structure.
D) matrix structure.
E) multidivisional structure.

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

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


A) It provides a clear chain of command to employees.
B) It eliminates the problem of intersecting lines of authority.
C) It is the least expensive method to organize a business.
D) It is the simplest form of organizational structure.
E) It provides flexibility,enhanced cooperation,and creativity.

F) All of the above
G) None of the above

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A narrow span of management is appropriate when:


A) superiors and subordinates are not in close proximity.
B) managers have few responsibilities other than supervision.
C) interactions between superiors and subordinates are not frequent.
D) subordinates are highly competent.
E) managers face few problems.

F) B) and E)
G) B) and D)

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A disadvantage of line structures is that they:


A) lack a clear chain of command.
B) make decision making excessively complicated for managers.
C) provide no direct lines of authority.
D) create work duplication and confusion.
E) require managers to possess a wide range of knowledge and skills.

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

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