MBA 705 Final Exam Questions With
Correct Answers
What does organizational structure refer to?
| | | | |
The formal means by which work is coordinated in an organization. The structure
| | | | | | | | | | | | |
exists to provide control and coordination
| | | | |
simple structure |
each employee performs multiple tasks and the owner is involved in all aspects of
| | | | | | | | | | | | |
the business
| |
what does vertical growth refer to
| | | | |
an increase in the length of the organizations hierarchy (levels of management)
| | | | | | | | | | |
Span of control | |
the number of employees reporting to each manager represents the managers:
| | | | | | | | | |
tall organization
|
, comprised of many hierarchical levels and narrow spans of control
| | | | | | | | |
what is a tall organization suited for?
| | | | | |
stable environment|
flat organization
|
has fewer levels in its hierarchy and a wide span of control from top to bottom
| | | | | | | | | | | | | | |
advantages of tall organizations | | |
more effective communication & less difficulty in planning
| | | | | | |
advantages of flat organization | | |
lower administrative costs and increased authority for managers
| | | | | | |
In a firm marked by centralization,
| | | | |
most strategic and operating decisions are made by managers at the top if the
| | | | | | | | | | | | | |
organization structure |
Correct Answers
What does organizational structure refer to?
| | | | |
The formal means by which work is coordinated in an organization. The structure
| | | | | | | | | | | | |
exists to provide control and coordination
| | | | |
simple structure |
each employee performs multiple tasks and the owner is involved in all aspects of
| | | | | | | | | | | | |
the business
| |
what does vertical growth refer to
| | | | |
an increase in the length of the organizations hierarchy (levels of management)
| | | | | | | | | | |
Span of control | |
the number of employees reporting to each manager represents the managers:
| | | | | | | | | |
tall organization
|
, comprised of many hierarchical levels and narrow spans of control
| | | | | | | | |
what is a tall organization suited for?
| | | | | |
stable environment|
flat organization
|
has fewer levels in its hierarchy and a wide span of control from top to bottom
| | | | | | | | | | | | | | |
advantages of tall organizations | | |
more effective communication & less difficulty in planning
| | | | | | |
advantages of flat organization | | |
lower administrative costs and increased authority for managers
| | | | | | |
In a firm marked by centralization,
| | | | |
most strategic and operating decisions are made by managers at the top if the
| | | | | | | | | | | | | |
organization structure |
