Business Organizations And Markets Quiz

Cross-functional teams are groups of employees from different departments who work together on a long-term basis. These teams are formed to bring together individuals with diverse skills, expertise, and perspectives to collaborate on projects or tasks that require input from multiple areas of the organization. By leveraging the knowledge and abilities of team members from different backgrounds, cross-functional teams can enhance problem-solving, innovation, and decision-making processes. This allows for a more comprehensive and holistic approach to achieving organizational goals.

The given scenario describes the decision of Excite Enterprises to delegate its financial record-keeping and tax form preparation to a specialized accounting services company. This practice is known as outsourcing, which involves hiring external companies to perform specific tasks or functions instead of handling them internally. By outsourcing these financial responsibilities, Excite Enterprises can benefit from the expertise and efficiency of the accounting services company, allowing them to focus on their core business operations.

Mo is likely to encounter many rules and regulations that employees are expected to follow in his firm. This is because a bureaucratic organization is characterized by a strict adherence to rules and procedures. In such organizations, there is a strong emphasis on following established protocols and guidelines, which can result in a high degree of regulation for employees. This ensures consistency and uniformity in the organization's operations but can also create a rigid and inflexible working environment.

In a centralized organization, decision-making authority is maintained at the top level of management. This means that all major decisions are made by a small group of individuals at the top, who have the power and control over the entire organization. This structure allows for clear lines of authority and communication, as well as efficient decision-making. However, it can also lead to a lack of autonomy and innovation at lower levels of the organization.

Economies of scale are achieved when a firm reduces its average cost of goods as it produces more. This means that as the firm increases its production levels, it can spread its fixed costs over a larger number of units, resulting in a lower average cost per unit. This can be due to various factors such as increased specialization, improved technology, and better utilization of resources. By achieving economies of scale, firms can become more efficient and competitive, leading to increased profitability and success.

Benchmarking is the process of comparing an organization's practices, processes, and products against the best in the world. It involves identifying industry-leading organizations and studying their strategies, methods, and performance to gain insights and improve one's own practices. This allows organizations to set performance targets, identify areas for improvement, and implement best practices to enhance their competitiveness and efficiency. Benchmarking helps organizations stay updated with industry trends and constantly strive for excellence by learning from the best.

Marlin Manufacturing is an example of a tall organization. This is because the company has multiple levels of management and a hierarchical structure with various levels of authority and responsibility. The presence of shift leaders, supervisors, managers, and vice presidents indicates a clear chain of command and a vertical flow of decision-making within the organization.

The informal organization refers to the relationships and power centers that develop naturally among employees as they interact and form connections within a formal organization. This network of relationships operates outside of the official hierarchy and can have a significant impact on communication, decision-making, and the overall functioning of the organization.

Based on the information provided, Jody works on complex and challenging projects that require a significant amount of time spent with her subordinates providing advice and support. This suggests that Jody has a narrow span of control because she has a smaller number of subordinates to manage and supervise closely. A narrow span of control is typically associated with more detailed and hands-on management, which aligns with Jody's role as the head of the marketing department.

A staff position in a firm typically refers to a role that provides support and expertise to the organization. In this case, a lawyer employed in the legal department of a manufacturing corporation would be classified as a staff position. This is because the lawyer's role is to provide legal advice and support to the company, rather than being directly involved in the core operations of the business like the assembly line worker or the sales manager. The CEO, on the other hand, is a top-level executive position responsible for overall management and decision-making, which does not fall under the category of a staff position.