C201: EXAM REVIEW QUESTIONS
AND ANSWERS WITH COMPLETE
SOLUTIONS UPDATED 2026
Organizational Workflow & Departmentalization
Question: In the sequence of the organizing process, at what point does
management delegate specific tasks to staff members and distribute the necessary
resources?
A) Once they have pinpointed specific issues or prospects.
B) Once they have decided which actions are required to reach targets.
C) Once they have finished synchronizing the efforts of the staff.
D) Once they have categorized tasks and work units into a coherent
organizational framework. Answer: D) After grouping work activities and
tasks into a logical structure. ✔️✔️
Question: A clothing production firm is divided into specialized sections for
pattern design, fabric cutting, sewing, and final quality finishing. Which method of
departmentalization is this business utilizing?
A) Product-based grouping
B) Process-based grouping
C) Functional-based grouping
D) Customer-based grouping Answer: B) Process departmentalization ✔️✔️
Which level of management focuses on long-term planning in an organization?
A) Supervisory management
B) Project management
C) Top management
D) Middle management -ANSWER ✔️✔️C) Top management
,Which organizational structure utilizes a project management design?
A) Matrix organization
B) Line organization
C) Line-and-staff organization
D) Committee organization -ANSWER ✔️✔️A) Matrix organization
What should managers do to create an effective organizational structure?
A) Create a flat organizational hierarchy
B) Establish clear expectations for employees
C) Make departments based on product offerings rather than functions
D) Reduce the span of management at each management level -ANSWER ✔️✔️B)
Establish clear expectations for employees
A grocery chain authorizes its store managers to hire staff, organize promotional
events, and make decisions such as issuing store credit and processing refunds to
prevent the escalation of complaints. It also ensures that its sales staff is well
equipped to address most customer queries without deferring to the store manager.
Which characteristic does the grocery chain emphasize in its organizational
structure in this scenario?
A) Competitive differentiation
B) Decentralization
C) Leverage
D) Narrow span of control -ANSWER ✔️✔️B) Decentralization
Which managerial skill helps managers view their organization as a unified whole?
, A) Conceptual
B) Communication
C) Technical
D) Human -ANSWER ✔️✔️C) Technical
A production manager of a toy manufacturing company is determining the most
cost-effective order of the work processes to assemble a new toy.
Which managerial task of production is control is the manager focusing on in the
given scenario?
A) Following up
B) Routing
C) Schedule
D) Dispatching -ANSWER ✔️✔️B) Routing
An auto parts manufacturer follows a quality control methodology that aims to
reduce the wastage of material, resources, and time. This methodology focuses on
improving business processes and has five phases: defining, measuring, analyzing,
improving, and controlling. The goal is to achieve defect-free products 99.9997%
of the time.
Which quality control methodology does the manufacturer use in the given
scenario?
A) Benchmarking
B) Program evaluation and review technique (PERT)
C) Just-in-time (JIT) system
D) Six Sigma -ANSWER ✔️✔️D) Six Sigma
AND ANSWERS WITH COMPLETE
SOLUTIONS UPDATED 2026
Organizational Workflow & Departmentalization
Question: In the sequence of the organizing process, at what point does
management delegate specific tasks to staff members and distribute the necessary
resources?
A) Once they have pinpointed specific issues or prospects.
B) Once they have decided which actions are required to reach targets.
C) Once they have finished synchronizing the efforts of the staff.
D) Once they have categorized tasks and work units into a coherent
organizational framework. Answer: D) After grouping work activities and
tasks into a logical structure. ✔️✔️
Question: A clothing production firm is divided into specialized sections for
pattern design, fabric cutting, sewing, and final quality finishing. Which method of
departmentalization is this business utilizing?
A) Product-based grouping
B) Process-based grouping
C) Functional-based grouping
D) Customer-based grouping Answer: B) Process departmentalization ✔️✔️
Which level of management focuses on long-term planning in an organization?
A) Supervisory management
B) Project management
C) Top management
D) Middle management -ANSWER ✔️✔️C) Top management
,Which organizational structure utilizes a project management design?
A) Matrix organization
B) Line organization
C) Line-and-staff organization
D) Committee organization -ANSWER ✔️✔️A) Matrix organization
What should managers do to create an effective organizational structure?
A) Create a flat organizational hierarchy
B) Establish clear expectations for employees
C) Make departments based on product offerings rather than functions
D) Reduce the span of management at each management level -ANSWER ✔️✔️B)
Establish clear expectations for employees
A grocery chain authorizes its store managers to hire staff, organize promotional
events, and make decisions such as issuing store credit and processing refunds to
prevent the escalation of complaints. It also ensures that its sales staff is well
equipped to address most customer queries without deferring to the store manager.
Which characteristic does the grocery chain emphasize in its organizational
structure in this scenario?
A) Competitive differentiation
B) Decentralization
C) Leverage
D) Narrow span of control -ANSWER ✔️✔️B) Decentralization
Which managerial skill helps managers view their organization as a unified whole?
, A) Conceptual
B) Communication
C) Technical
D) Human -ANSWER ✔️✔️C) Technical
A production manager of a toy manufacturing company is determining the most
cost-effective order of the work processes to assemble a new toy.
Which managerial task of production is control is the manager focusing on in the
given scenario?
A) Following up
B) Routing
C) Schedule
D) Dispatching -ANSWER ✔️✔️B) Routing
An auto parts manufacturer follows a quality control methodology that aims to
reduce the wastage of material, resources, and time. This methodology focuses on
improving business processes and has five phases: defining, measuring, analyzing,
improving, and controlling. The goal is to achieve defect-free products 99.9997%
of the time.
Which quality control methodology does the manufacturer use in the given
scenario?
A) Benchmarking
B) Program evaluation and review technique (PERT)
C) Just-in-time (JIT) system
D) Six Sigma -ANSWER ✔️✔️D) Six Sigma
