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operational efficiency. - correct answers Companies that seek to pursue a cost leadership strategy will
most likely make organizational design decisions that emphasize
- flexibility.
- creativity.
- operational efficiency.
- speed.
can withstand high turnover. - correct answers An advantage of the bureaucratic approach to
organizational control is that it
- elicits commitment.
- can withstand high turnover.
- can easily adapt to the environment.
- encourages employees to be self-regulating.
It is ideal for organizations that have constantly changing environments. - correct answers Which of the
following statements is true of a clan approach to control?
- It involves high levels of supervision and extensive rules.
- It is ideal for large organizations operating in steady environments.
- It is appropriate for price-competitive and cost-sensitive industries.
- It is ideal for organizations that have constantly changing environments.
, It is not suited to deal with the environmental changes in an organization. - correct answers Which of
the following is a disadvantage of a functional organizational structure?
- It does not facilitate a straightforward approach to supervision and management.
- It is unsuitable for small businesses or businesses with a limited number of products or services.
- It fails to support an easy flow of communication in a firm.
- It is not suited to deal with the environmental changes in an organization.
In divisional structures, core functions are often duplicated in each division. - correct answers Which of
the following is a valid difference between a divisional and a functional organizational structure?
- Compared with a functional structure, a divisional structure allows for lesser accountability.
- In divisional structures, core functions are often duplicated in each division.
- There is greater potential for competitive behavior between divisions in a functional structure.
- Employees in a divisional structure often develop more expertise than those in a purely functional
structure.
Divisional - correct answers Which of the following organizational structures is most likely to have the
highest levels of accountability?
- Functional
- Network
- Matrix
- Divisional
delegation. - correct answers The process by which managers transfer decision rights to individual
employees is known as
- initiation.
- simulation.