77. Which of the following statements about the organizational life cycle is TRUE?
78. As organizations move through the stages of the organizational life cycle from birth to maturity, they do
NOT
79. Which of the following is NOT one of the stages of the organizational life cycle?
80. Microsoft is experiencing gradual growth, with most of it happening internationally. It is an example of an
organization in the ____ stage.
81. A dentist office with one dentist will likely follow
82. A portfolio approach will influence organization design by determining the
83. Which of the following strategies would generally follow a bureaucratic design?
84. Some fast-food restaurants introduced healthier food options in response to lawsuits. This reactor strategy
indicates that those fast-food restaurants
85. With the use of ____ strategy, no logical connection between organization design and strategy is required.
86. Ralston Purina is a leader in bringing new consumer goods to market. The organization is also always
looking for new markets. The strategy of continuously seeking new customers and/or new markets indicates that
Ralston Purina
87. When Hewlett Packard was pursuing a defender strategy it was likely to
88. The Pizza Place makes only pizza and sells only pizza, drinks, and prepackaged snacks. This is an example
of the ____ organization design.
89. Charmed by Claire is a gift shop. Employees specialize in a product line like Vera Bradley, Pandora, or
Brighton. Clair the CEO oversees coordination of the entire operation. Which form of organization design is
appropriate for Charmed by Claire?
90. Which of the following is NOT characteristic of a conglomerate (H-form) organization design?
91. Harley-Davidson is known for its motorcycle division, but it also owns a company that makes Holiday
Rambler motor homes, another that manufactures parcel delivery vans, and another that makes truck bodies.
Each of its businesses is operated by an independent general manager, but its performance is evaluated by the
financial staff at the corporate office. This is an example of which organization design?
92. Hampton Amusement Rides is a fairly small manufacturer of kiddy rides that can be towed from one site to
another. It has marketing, production, finance, shipping, and personnel departments. The owner takes
responsibility for coordinating and integrating the efforts of the various departments. Which of the following
forms of organization design is most appropriate for this company?
93. The CEO of Abercrombie and Fitch, Michael Jeffries, is personally in control of the company, to include
interviewing ad models and approving every detail of store operations. Normally this is only possible in
companies much smaller than A&F. Based on Jeffries’ level of control, which of the following organization
designs would you expect it to use?
94. WMC Corporation uses a departmentalized structure based on different product groups set up as profit
centers. The general managers of these profit centers report to a central corporate group that serves as a holding
company. This is a ____ organization design.
95. Which of the following statements comparing the conglomerate (H-form) and the divisional (M-form)
approaches to organization design is FALSE?
96. Viacom owns Nickelodeon, TV Land, VH1, and Nick at Nite. Viacom’s managers of these cable networks
are allowed a fairly high degree of autonomy in their operations, yet they coordinate their activities as needed.
Purchasing is highly centralized, but many other functions are quite decentralized. Viacom uses a ____
organization design.
97. Levi Strauss launched Denizen denim brand in China and Singapore. What form of organization design is
appropriate for Levi Strauss?
98. The ____ form of organization design is one in which a set of product groups is superimposed on a
functional organization design.
99. With the ____ form of organization design, product departmentalization is combined with a strategic
business unit strategy.
100. A divisional (M-form) organization design is characterized by all of the following EXCEPT
101. The form of organization design in which the principle of unity of command (i.e., everyone should have
one and only one supervisor) is violated in the
102. Heinrich works for Siemens Corporation. He lives in New York City and reports to both the
communications president in Munich and the president in charge of Siemens Americas. He works in a ____
design organization.
103. Which of the following organization designs is frequently the result of pressure to share resources?
104. The existence of which of the following factors would most likely make the implementation of a matrix
organization design inadvisable?
105. Which of the following characteristics does NOT describe the matrix form of organization design?
106. Which of the following is NOT a strength of the matrix organization design?
107. A matrix design would NOT be effective when
108. Which of the following is an advantage associated with the matrix design?
109. Disadvantages of the matrix design include all of the following EXCEPT
110. Which of the following approaches to organization design automatically creates lateral relationships?
111. GM used a new strategy when it designed the Saturn division separately from the previous divisions. GM
uses a ____ design.
112. Tesla Motors is a California start-up. It keeps units small and flexible, allowing them to quickly adapt to
changing environments. Tesla is most likely a ____ organization.
113. A(n) ____ organization is one that has little or no formal structure.
114. A company that sells names and addresses for direct mail and Internet marketing has subcontracted out the
research and development procedures for putting together mailing lists. It has a small sales force, but uses a
telemarketing company to locate businesses that are prospects for its mailing lists. Which of the following terms
BEST describes its organization design?
115. A ____ organization works to facilitate the lifelong learning and personal development of all of its
employees while continually transforming itself to respond to changing demands and needs.
116. ____________________ is the overall set of structural elements and the relationships among those
elements used to manage the total organization.
117. Most organizations change almost ____________________ as a result of factors such as situations and
people.
118. Weber’s perspective suggests that a(n) ____________________ is a model of organization design based on
a legitimate and formal system of authority.
119. System ____________________ design is similar to the bureaucratic model.
120. With respect to organization design, the conversion process used to transform inputs into outputs is called
____________________.
121. Woodward assumed ____________________ technology is the least complex and continuous-process
122. Bully Hill is a New York wine maker. It uses ____________________ technology to transform investment
grapes into wine.
123. When the product is manufactured in assembly-line fashion, ____________________ or mass-production
technology is used.
124. Woodward found that mass-production technologies tended to resemble System ____________________
bureaucracies.
125. Burns and Stalker identified two extreme forms of organizational ____________________: stable (one that
remains relatively constant over time) and unstable (subject to uncertainty and rapid change.
126. ____________________ is the degree to which the various subunits must work together in a coordinated
fashion.
127. ____________________ is the total number of full-time or full-time-equivalent employees.
128. A firm that pursues a single-product strategy likely relies on ____________________
departmentalization.
129. Firms using unrelated diversification more likely rely on a(n) ____________________ reporting system to
better monitor the performance of individual units within the firm.
130. ____________________ design is an arrangement based on the functional approach to
departmentalization.
131. M-form stands for ____________________ design.
132. Organization designs in which two or more of the most common forms of organization design are
combined are called ____________________ organization designs.
133. When people float from project to project with little or no underlying functional authority in organizational
units, a(n) ____________________ organization design is said to exist.
134. The ____________________ organization has little or no formal structures, including few permanent
employees.
135. Managers need to recognize that when they approach ____________________ organization design from a
strategic perspective rather than simply allowing it to evolve haphazardly and without forethought, they can
reap important advantages, including the development of expatriate managers and enhanced organizational
flexibility.
136. What are the advantages and disadvantages of bureaucracy?
137. Describe the basic nature of organizational design.
138. Likert developed a framework that characterized organizations in terms of eight processes. What are they?
139. Discuss the relationship between technology and organization design as defined by the Woodward studies.
140. Woodward studied 100 manufacturing companies. If she had studied 100 service companies, what do you
think the connection between technology and organizational design would be?
141. Briefly describe how Lawrence and Lorsch extended the work done by Burns and Stalker on the impact of
the environment on organization design.
142. Describe how the Aston studies define the impact of organization size on organization design. Include a
discussion of the organizational life cycle.
143. Briefly describe the relationship between organizational strategy and organization design. Be sure to
include the effects at each level of strategy.
144. Compare and contrast the functional, conglomerate, and divisional forms of organization design structure.
What are the advantages and disadvantages of these forms of structure? Use diagrams if they will clarify your
explanation.
145. Briefly describe the matrix form of organization design. List its advantages and disadvantages. This
structural form is most likely to be used under what conditions?
146. Compare and contrast the team, virtual, and learning organizations.
147. Briefly describe the special design issues faced when a company “goes international.”