1. Organization design:
a. encompasses larger elements that influence structural dimensions, including the
organization’s size, technology, environment, culture, and goals.
b. gives us the tools to evaluate and understand how and why some organizations grow
and succeed while others do not.
c. obtains inputs from the external environment, adds value through a transformation
process, and discharges products and services back to the environment.
d. provides labels to describe the internal characteristics of an organization.
ANSWER: b
RATIONALE: Feedback: Organization design gives us the tools to evaluate and
understand how and why some organizations grow and succeed while
others do not. It helps us explain what happened in the past, as well as
what might happen in the future, so that we can manage organizations
more effectively.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-03 - 01-03
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Understand
2. _____ refers to economic development that generates wealth and meets the needs of the current
generation while saving the environment so future generations can meet their needs as well.
a. Centralization
b. Formalization
c. Contingency
d. Sustainability
ANSWER: d
RATIONALE: Feedback: Many companies are embracing the philosophy of
sustainability, which refers to economic development that generates
wealth and meets the needs of the current generation while saving the
environment so future generations can meet their needs as well.
POINTS: 1
,LEARNING OBJECTIVES: ORGT.DAFT.16.01-02 - 01-02
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Understand
3. Pendant Inc., a retail chain based in England, has implemented an energy-efficient trucking
fleet. It is increasing its use of green materials in buildings, and aims to dispose all the waste of
the company by 2025. Which of the following measures is Pendant Inc. focusing its efforts on?
a. Going green
b. Scientific management
c. Contingency
d. Centralization
ANSWER: a
RATIONALE: Feedback: Pendant Inc. is focusing its efforts on going green. Going
green has become a new business imperative, driven by shifting social
attitudes, new government policies, climate changes, and the
information technology that quickly spreads news of a corporation’s
negative impact on the environment.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-02 - 01-02
NATIONAL STANDARDS: United States - AACSB: Reflective Thinking
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Apply
4. _____ refers to technologies, skills, and processes for searching and examining massive sets of
data to uncover hidden patterns and correlations.
a. Scientific management
b. Social business
, c. A social media program
d. Big data analytics
ANSWER: d
RATIONALE: Feedback: Big data analytics refers to technologies, skills, and
processes for searching and examining massive sets of data to uncover
hidden patterns and correlations. Big data is not just for online
companies.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-02 - 01-02
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Remember
5. Which of the following is a difference between for-profit businesses and nonprofit
organizations?
a. Financial resources for for-profit businesses come from government appropriations,
grants, and donations, while nonprofit organizations are funded by the sale of
products or services to customers.
b. In for-profit businesses, managers focus on improving an organization’s products and
services to increase sales revenues, while in nonprofit organizations, however,
services are typically provided to nonpaying clients.
c. For-profit businesses are committed to servicing clients with limited funds, while
nonprofit organizations have access to unlimited funds to service clients.
d. In for-profit businesses, services are typically provided to nonpaying clients, while in
nonprofit organizations, services are typically provided to paying clients.
ANSWER: b
RATIONALE: Feedback: In for-profit businesses, managers focus on improving an
organization’s products and services to increase sales revenues. In
nonprofits, however, services are typically provided to nonpaying
clients, and a major problem for many organizations is securing a
steady stream of funds to continue operating.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-01 - 01-01
, NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: What is an Organization?
KEYWORDS: Bloom’s: Understand
6. _____ provide labels to describe the internal characteristics of an organization.
a. Functional dimensions
b. Administrative principles
c. Contingency factors
d. Structural dimensions
ANSWER: d
RATIONALE: Feedback: Structural dimensions provide labels to describe the internal
characteristics of an organization. They create a basis for measuring
and comparing organizations.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-04 - 01-04
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Dimensions of Organization Design
KEYWORDS: Bloom’s: Remember
7. _____ encompass larger elements that influence structural dimensions, including an
organization’s size, technology, environment, culture, and goals.
a. Functional dimensions
b. Administrative principles
c. Contingency factors
d. Structural dimensions
ANSWER: c
a. encompasses larger elements that influence structural dimensions, including the
organization’s size, technology, environment, culture, and goals.
b. gives us the tools to evaluate and understand how and why some organizations grow
and succeed while others do not.
c. obtains inputs from the external environment, adds value through a transformation
process, and discharges products and services back to the environment.
d. provides labels to describe the internal characteristics of an organization.
ANSWER: b
RATIONALE: Feedback: Organization design gives us the tools to evaluate and
understand how and why some organizations grow and succeed while
others do not. It helps us explain what happened in the past, as well as
what might happen in the future, so that we can manage organizations
more effectively.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-03 - 01-03
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Understand
2. _____ refers to economic development that generates wealth and meets the needs of the current
generation while saving the environment so future generations can meet their needs as well.
a. Centralization
b. Formalization
c. Contingency
d. Sustainability
ANSWER: d
RATIONALE: Feedback: Many companies are embracing the philosophy of
sustainability, which refers to economic development that generates
wealth and meets the needs of the current generation while saving the
environment so future generations can meet their needs as well.
POINTS: 1
,LEARNING OBJECTIVES: ORGT.DAFT.16.01-02 - 01-02
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Understand
3. Pendant Inc., a retail chain based in England, has implemented an energy-efficient trucking
fleet. It is increasing its use of green materials in buildings, and aims to dispose all the waste of
the company by 2025. Which of the following measures is Pendant Inc. focusing its efforts on?
a. Going green
b. Scientific management
c. Contingency
d. Centralization
ANSWER: a
RATIONALE: Feedback: Pendant Inc. is focusing its efforts on going green. Going
green has become a new business imperative, driven by shifting social
attitudes, new government policies, climate changes, and the
information technology that quickly spreads news of a corporation’s
negative impact on the environment.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-02 - 01-02
NATIONAL STANDARDS: United States - AACSB: Reflective Thinking
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Apply
4. _____ refers to technologies, skills, and processes for searching and examining massive sets of
data to uncover hidden patterns and correlations.
a. Scientific management
b. Social business
, c. A social media program
d. Big data analytics
ANSWER: d
RATIONALE: Feedback: Big data analytics refers to technologies, skills, and
processes for searching and examining massive sets of data to uncover
hidden patterns and correlations. Big data is not just for online
companies.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-02 - 01-02
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Organization Design in Action
KEYWORDS: Bloom’s: Remember
5. Which of the following is a difference between for-profit businesses and nonprofit
organizations?
a. Financial resources for for-profit businesses come from government appropriations,
grants, and donations, while nonprofit organizations are funded by the sale of
products or services to customers.
b. In for-profit businesses, managers focus on improving an organization’s products and
services to increase sales revenues, while in nonprofit organizations, however,
services are typically provided to nonpaying clients.
c. For-profit businesses are committed to servicing clients with limited funds, while
nonprofit organizations have access to unlimited funds to service clients.
d. In for-profit businesses, services are typically provided to nonpaying clients, while in
nonprofit organizations, services are typically provided to paying clients.
ANSWER: b
RATIONALE: Feedback: In for-profit businesses, managers focus on improving an
organization’s products and services to increase sales revenues. In
nonprofits, however, services are typically provided to nonpaying
clients, and a major problem for many organizations is securing a
steady stream of funds to continue operating.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-01 - 01-01
, NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: What is an Organization?
KEYWORDS: Bloom’s: Understand
6. _____ provide labels to describe the internal characteristics of an organization.
a. Functional dimensions
b. Administrative principles
c. Contingency factors
d. Structural dimensions
ANSWER: d
RATIONALE: Feedback: Structural dimensions provide labels to describe the internal
characteristics of an organization. They create a basis for measuring
and comparing organizations.
POINTS: 1
LEARNING OBJECTIVES: ORGT.DAFT.16.01-04 - 01-04
NATIONAL STANDARDS: United States - AACSB: Analytic
TOPICS: Dimensions of Organization Design
KEYWORDS: Bloom’s: Remember
7. _____ encompass larger elements that influence structural dimensions, including an
organization’s size, technology, environment, culture, and goals.
a. Functional dimensions
b. Administrative principles
c. Contingency factors
d. Structural dimensions
ANSWER: c
