Chapter 8: Adapting Organizations To Today's Markets
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Chapter 8 quiz from Understanding Business text book.
- 1.Economies of scale:
- A.
Are available to small firms but not to large firms due to management inefficiencies
- B.
Are achieved when a firm reduces its average cost of goods as it produces more
- C.
Can be avoided by purchasing supplies and raw materials in large quantities
- D.
Help explain the success of small businesses
- 2.Mo was just hired by a firm that has a very bureaucratic organization. Mo is likely to encounter which of the following conditions in his firm?
- A.
Few layers of management
- B.
Many rules and regulations that employees are expected to follow
- C.
A career path that requires employees to change departments on a regular basis
- D.
Departmentalization by customer group
- 3.In a(n) ________ organization, decision-making authority is maintained at the top level of management.
- A.
Compartmentalized
- B.
Standardized
- C.
Inverted
- D.
Centralized
- 4.Within its production department, Marlin Manufacturing has shift leaders, supervisors, assistant plan managers, plan managers, product group managers, assistant division managers, division managers, an assistant vice president for production, and a vice president in charge of production. Marlin Manufacturing is an example of a(n) _________ organization.
- A.
Tall
- B.
Wide
- C.
Cross-functional
- D.
Decentralized
- 5.Which of the following positions in a firm would be classified as a staff position?
- A.
An assembly line worker for a major auto manufacturer
- B.
The chief executive officer of a small corporation
- C.
A sales manager for a chain of clothing stores
- D.
A lawyer employed in the legal department of a manufacturing corporation
- 6.Groups of employees from different departments who work together on a long-term basis are members of:
- A.
Focus groups
- B.
Control groups
- C.
Cross-functional teams
- D.
Intrapraneurial teams
- 7.As the head of the marketing department, Jody works with her subordinates on complex and challenging projects. The level of detail in this work requires Jody to spend a significant amount of tiime with her subordinates providing advice and support. Within the marketing department, Jody probably has a(n) ______ span of control.
- A.
Wide
- B.
Narrow
- C.
Unlimited
- D.
Functional
- 8.The process of rating an organization's practices, processes, and products against the best of the world is known as:
- A.
Ratio analysis
- B.
Analysis of variance (ANOVA)
- C.
Benchmarking
- D.
A PERT (program evaluation and review technique) analysis
- 9.Excite Enterprises has decided to let another company that specializes in accounting services handle all of its financial records and prepare its tax forms. This is an example of:
- A.
Outsourcing
- B.
Functional reassignment
- C.
Functional inversion
- D.
Benchmarking
- 10.The _________ consists of relationships that develop spontaneously as employees meet and form power centers.
- A.
Informal organization
- B.
Bureaucratic structure
- C.
Secondary organization
- D.
Formal organization
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