MBA 705 Minsun Kim Exam 4
fully solved & updated
Organizational Structure - answer refers to the formal means by
which work is coordinated in an organization. The structure exists to
provide control and coordination for the organization
Simple structure - answer a form of organization in which in a new
business, each employee often performs multiple tasks and the
owner/manager is involved in all aspects of the business
Vertical Growth - answer refers to an increase in the length of the
organization's hierarchy (i.e. levels of management)
Span of Control - answer the number of employees reporting to each
manager
Tall organization - answer compromised of many hierarchical levels
and narrow spans of control-- a tall organization tends to be best
suited for a stable environment
Advantage: more effective communication and less difficulty in
planning
Flat Organization - answer has few levels in its hierarchy and a wide
span of control from top to bottom
Advantage: lower administrative costs and increased authority for
managers
Centralization - answer most strategic and operating decisions are
made by managers at the top of the organization structure
, Decentralization - answer most strategic and operating decisions
are made by managers at lower levels of the organization
Horizontal Growth - answer an increase in the breadth of an
organization's structure
Downsizing - answer occurs when one or more hierarchical levels-
typically middle managers - is eliminated
Four Options for Structural Forms - answer 1. Functional Structure
2. Product Divisional Structure
3. Geographic Divisional Structure
4. Matrix structure
(product and geographic divisional structures are also called
multidivisional or M-form structures)
Functional Structure - answer - each subunit of the organization
engages in firm-wide activities related to a particular function, such
as marketing, HR, finance, or production
-common to new organizations
-emphasizes specialization (Groups specialists)
-fosters development of economies of scale
-addresses quality concerns well
-the most centralized structure
Product Divisional Structure - answer -divides the organization's
activities into self-contained entities, each responsible for
producing, distributing, and selling its own products
-focus on products, the "real source" or success for the firm
fully solved & updated
Organizational Structure - answer refers to the formal means by
which work is coordinated in an organization. The structure exists to
provide control and coordination for the organization
Simple structure - answer a form of organization in which in a new
business, each employee often performs multiple tasks and the
owner/manager is involved in all aspects of the business
Vertical Growth - answer refers to an increase in the length of the
organization's hierarchy (i.e. levels of management)
Span of Control - answer the number of employees reporting to each
manager
Tall organization - answer compromised of many hierarchical levels
and narrow spans of control-- a tall organization tends to be best
suited for a stable environment
Advantage: more effective communication and less difficulty in
planning
Flat Organization - answer has few levels in its hierarchy and a wide
span of control from top to bottom
Advantage: lower administrative costs and increased authority for
managers
Centralization - answer most strategic and operating decisions are
made by managers at the top of the organization structure
, Decentralization - answer most strategic and operating decisions
are made by managers at lower levels of the organization
Horizontal Growth - answer an increase in the breadth of an
organization's structure
Downsizing - answer occurs when one or more hierarchical levels-
typically middle managers - is eliminated
Four Options for Structural Forms - answer 1. Functional Structure
2. Product Divisional Structure
3. Geographic Divisional Structure
4. Matrix structure
(product and geographic divisional structures are also called
multidivisional or M-form structures)
Functional Structure - answer - each subunit of the organization
engages in firm-wide activities related to a particular function, such
as marketing, HR, finance, or production
-common to new organizations
-emphasizes specialization (Groups specialists)
-fosters development of economies of scale
-addresses quality concerns well
-the most centralized structure
Product Divisional Structure - answer -divides the organization's
activities into self-contained entities, each responsible for
producing, distributing, and selling its own products
-focus on products, the "real source" or success for the firm
