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_____ is a method of subdividing work and workers into separate organizational units that take responsibility for completing particular tasks.


A) Reengineering
B) Departmentalization
C) Decentralization
D) Class reconstruction

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Lee operates injection molding machines on a regular basis. He is responsible for observing meters to verify press-cycle times, pressures, and specified temperatures and getting the final product ready. In the context of organizational authority, which of the following functions does Lee most likely perform?


A) Line function
B) Staff function
C) Support function
D) Advisory function

Correct Answer

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Marjoriesse, a multinational chain of gold jewelry stores, allows each of its stores to run advertising campaigns of its choice. Depending on the market conditions, demographic factors, and geographical factors, the store managers of Marjoriesse can choose between print, radio, and television media to advertise. In the context of organizational authority, which of the following is best illustrated in this scenario?


A) Decentralization of authority
B) Centralization of authority
C) Staff authority
D) Concentrated authority

Correct Answer

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Larry, a human resources executive at Printopress, caters to the human resources needs of other departments in the company, such as printing, publishing, marketing, accounting, and transportation. In this scenario, which of the following types of organizational structures does Printopress most likely follow?


A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Correct Answer

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The chain of command is a vertical line of responsibility that clarifies which task has to be performed by whom.

Correct Answer

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The primary disadvantage of customer departmentalization is:


A) that it leads to slower decision making.
B) that it leads to duplication of resources.
C) the tremendous managerial skills required to coordinate between different departments.
D) the loss of control over the quality of work done by different departments.

Correct Answer

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Which of the following statements is true of functional departmentalization?


A) It allows work to be done by highly qualified specialists.
B) It focuses an organization on customer needs rather than on products.
C) It leads to duplication of resources, which often results in higher costs.
D) It is a hybrid structure in which two or more forms of departmentalization are used together.

Correct Answer

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Which of the following statements best defines a staff function?


A) It is the right to command immediate subordinates in the chain of command.
B) It is the right to advise but not command others who are not subordinates in the chain of command.
C) It is an activity that contributes directly to creating or selling a company's products.
D) It is an activity that does not contribute directly to creating or selling a company's products but instead supports line activities.

Correct Answer

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D

Mildred, the marketing manager of an automobile manufacturing company, is responsible for pricing products, conducting market research, and designing advertising campaigns and promotional activities for the company. In the context of organizational authority, which of the following functions does Mildred most likely perform?


A) Line function
B) Staff function
C) Support function
D) Advisory function

Correct Answer

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As the chief innovation officer of an apparel manufacturing company, Kathleen has the right to issue orders to the costume designers of various divisions of the company. These costume designers, in turn, have the right to issue orders to the cutting room workers of the company. In the context of organizational authority, which of the following features of a traditional organizational structure does this scenario best illustrate?


A) Horizontal authority
B) Pseudo-authority
C) Line authority
D) Staff authority

Correct Answer

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__________is the vertical line of authority that clarifies who reports to whom throughout the organization.


A) A staff function
B) The chain of command
C) Delegation of authority
D) Centralization of authority

Correct Answer

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Which of the following is a disadvantage of modular organizations?


A) They cost significantly more to run than traditional organizations.
B) They are characterized by a loss of control that occurs when key business activities are outsourced to other companies.
C) They are slow because members cannot combine their efforts to meet customers' needs.
D) They are unstable and have temporary relationships in a network alliance.

Correct Answer

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Skrugetech Inc. designs its jobs in such a way that each job profile has a number of tasks associated with it. The employees are also given a substantial amount of liberty to make decisions about their work as long as they fulfill other work and quality requirements. In the context of job design, Skrugetech Inc. is most likely using _____.


A) job specialization
B) task rigidity
C) job enrichment
D) task identity

Correct Answer

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Amborfes Inc., a company that supplies packing materials to pharmaceutical manufacturing companies, ensures that its employees do not get bored of specific jobs by periodically moving them across a variety of jobs such as pasting of cartons, manufacturing of blisters, manufacturing of sleeves for plastic bottles, scoring of cartons, and printing and laminating of cartons. In the context of job design, Amborfes Inc. is most likely using _____.


A) job specialization
B) job rotation
C) task rigidity
D) task identity

Correct Answer

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LifeAura, a lifestyle accessories store, organizes its workforce into different divisions such as home décor, sports, clothing, and electronics. In this scenario, which of the following organizational structures does LifeAura most likely follow?


A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Correct Answer

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The third transfer that occurs with delegation is that the manager gives the subordinate full authority over the budget, resources, and personnel needed to do a job.

Correct Answer

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Ballooshu, a large dairy cooperative, organizes its labor force into different divisions for the manufacture of butter, cheese, cultured dairy, frozen desserts, ice cream, milk, and milk powder. In this scenario, which of the following organizational structures does Ballooshu most likely follow?


A) Functional departmentalization
B) Product departmentalization
C) Customer departmentalization
D) Geographic departmentalization

Correct Answer

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Clanacotta, a designing firm, organizes its workforce into departments based on the service the department provides, such as web designing, magazine designing, and portfolio publishing. In this scenario, Clanacotta most likely follows _____.


A) functional departmentalization
B) customer departmentalization
C) product departmentalization
D) geographic departmentalization

Correct Answer

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C

__________are characterized by precisely defined, unchanging roles and a rigid chain of command based on centralized authority and vertical communication.


A) Mechanistic organizations
B) Organic organizations
C) Modular organizations
D) Virtual organizations

Correct Answer

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Sannomsy, a confectionary company, uses similar conveyor belts with several interchangeable parts and the same procedure for the manufacture of all the toffees in its product line. This gives the company an advantage over its competitors in terms of consistency in quality, efficient processes, and price leadership. In the context of organizational authority, Sannomsy is most likely using _____.


A) customization
B) decentralization
C) standardization
D) adaptation

Correct Answer

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C

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