MAN6635 International Human Resource
Management Midterm Exam || With 100%
Accurate Solutions
Functional structure - ANSWER - functional departmentalization and high centralization
-very efficient
-tend to be inflexible and insensitive to subtle differences across products regions or
clients
-most appropriate in stable predictable environments
-inappropriate for most MNEs
Divisional structure - ANSWER - Workflow departmentalization and low levels of
centralization
-not very efficient
-tend to be more flexible and innovative
-tend to be sensitive to subtle differences across products, regions, or clients
Global matrix structure - ANSWER - Involve two or more lines of reporting (local
supervisors and HQ)
-allows local and global realities to be reconciled
-can allow managers to pursue narrow objectives without regard for other legs of the
matrix
-can create divided loyalties
Elements of organizational structure - ANSWER - -Work specialization
-Chain of command
-span of control
-centralization
-formalization
Work specialization - ANSWER - the degree to which tasks in an organization are
divided into separate jobs
Chain of command - ANSWER - answers the question "who reports to whom?" and
signifies formal authority relationships
Span of control - ANSWER - represents how many employees each manager in the
organization has responsibility for
Centralization - ANSWER - refers to where decisions are formally made in the
organization
, Formalization - ANSWER - the degree to which rules and procedures are used to
standardize behaviors and decisions in an organization
mechanistic organization - ANSWER - authority is centralized, tasks and rules are
clearly specified, and employees are closely supervised
organic organization - ANSWER - authority is decentralized,
-there are fewer rules and procedures,
- networks of employees are encouraged to cooperate and respond quickly to
unexpected tasks
Organizational design is impacted by - ANSWER - Business environment
-customers, competitors, suppliers and global presence
Company strategy
-low cost vs differentiation
Company size
MNEs must balance two opposing forces: - ANSWER - Integration (integrating foreign
operations with each other and with the parent firm)
Local responsiveness (allowing the necessary autonomy and local control needed to
meet unique national and cultural interests )
Internationalization of business - ANSWER - The ever increasing interaction,
interconnectedness and integration of people, companies, culture and countries
Internalization of business is driven by - ANSWER - - trade agreements
-search for new markets and reduced costs
- rapid and extensive global communication
-rapid development and transfer of new technology
-improving global education and global talent pool
- increased travel and migration
-knowledge sharing
-E-commerce
-Homogenization or culture and consumer demands
Difference between HRM and IHRM - ANSWER - IHRM includes
-Design and structure of the multinational enterprise
-international mergers, acquisitions, joint ventures and alliances
-International employment law, labor standards and ethics
- effects of culture on all aspects of HRM
Why is fostering commitment internationally more complex? - ANSWER - There are two
foci of commitment :
-The local subsidiary or supervisor
-The global organization and HQ management
Management Midterm Exam || With 100%
Accurate Solutions
Functional structure - ANSWER - functional departmentalization and high centralization
-very efficient
-tend to be inflexible and insensitive to subtle differences across products regions or
clients
-most appropriate in stable predictable environments
-inappropriate for most MNEs
Divisional structure - ANSWER - Workflow departmentalization and low levels of
centralization
-not very efficient
-tend to be more flexible and innovative
-tend to be sensitive to subtle differences across products, regions, or clients
Global matrix structure - ANSWER - Involve two or more lines of reporting (local
supervisors and HQ)
-allows local and global realities to be reconciled
-can allow managers to pursue narrow objectives without regard for other legs of the
matrix
-can create divided loyalties
Elements of organizational structure - ANSWER - -Work specialization
-Chain of command
-span of control
-centralization
-formalization
Work specialization - ANSWER - the degree to which tasks in an organization are
divided into separate jobs
Chain of command - ANSWER - answers the question "who reports to whom?" and
signifies formal authority relationships
Span of control - ANSWER - represents how many employees each manager in the
organization has responsibility for
Centralization - ANSWER - refers to where decisions are formally made in the
organization
, Formalization - ANSWER - the degree to which rules and procedures are used to
standardize behaviors and decisions in an organization
mechanistic organization - ANSWER - authority is centralized, tasks and rules are
clearly specified, and employees are closely supervised
organic organization - ANSWER - authority is decentralized,
-there are fewer rules and procedures,
- networks of employees are encouraged to cooperate and respond quickly to
unexpected tasks
Organizational design is impacted by - ANSWER - Business environment
-customers, competitors, suppliers and global presence
Company strategy
-low cost vs differentiation
Company size
MNEs must balance two opposing forces: - ANSWER - Integration (integrating foreign
operations with each other and with the parent firm)
Local responsiveness (allowing the necessary autonomy and local control needed to
meet unique national and cultural interests )
Internationalization of business - ANSWER - The ever increasing interaction,
interconnectedness and integration of people, companies, culture and countries
Internalization of business is driven by - ANSWER - - trade agreements
-search for new markets and reduced costs
- rapid and extensive global communication
-rapid development and transfer of new technology
-improving global education and global talent pool
- increased travel and migration
-knowledge sharing
-E-commerce
-Homogenization or culture and consumer demands
Difference between HRM and IHRM - ANSWER - IHRM includes
-Design and structure of the multinational enterprise
-international mergers, acquisitions, joint ventures and alliances
-International employment law, labor standards and ethics
- effects of culture on all aspects of HRM
Why is fostering commitment internationally more complex? - ANSWER - There are two
foci of commitment :
-The local subsidiary or supervisor
-The global organization and HQ management
