Question 1

One of the problems with making all the decisions at the top of a business organization is the costliness of:

Accepted Answer

A)  specific information.
B)  general information.
C)  advanced technology.
D)  market power.E) B) and C)
F) None of the above

Question 2

How do we solve the incentive problem and design optimal architecture?

Accepted Answer

In the US economy,the price system solve...

Question 3

What is corporate culture?

Accepted Answer

Corporate culture usually refers to the ...

Question 4

Economic theory implies that a mature industry without any significant technological change will tend to have firms with similar architectural structures,similar reward structures,and similar performance systems.Would the power of the marketplace be important in this case?

Accepted Answer

The correlation between market structure...

Question 5

If a manager who does not own a company is allowed to make decisions for the company,then:

Accepted Answer

A)  the decisions will usually be effective.
B)  inappropriate decisions will be taken.
C)  a control system of rewards and evaluation must be set up.
D)  the manager usually assumes the same position as the owner.E) C) and D)
F) B) and D)

Question 6

Independence Burgers serves fast food at its 300 franchised outlets across the South.The chain has recently found that (a)people are upgrading to restaurants when they eat out,(b)government regulation of beef has been tightened,and (c)modern food preparation technology makes central commissaries more cost effective.What should Independence Burgers do about its organizational architecture?

Accepted Answer

They should consider centralizing some d...

Question 7

Missy Knowles is in charge of all technical developments at Gumby Polymer Rubber.She makes all the choices concerning product innovations in the company.She finds that she is overworked and that several of her research chemists seem to be spending work hours playing golf.What managerial advice would you provide to Gumby Polymer Rubber (GPR)? Clearly explain your reasoning.

Accepted Answer

By centralizing decision rights she is o...

Question 8

Role models,company folklore,and rituals are:

Accepted Answer

A)  the key components of corporate culture.
B)  not parts of most companies' corporate culture.
C)  not considered in an economic analysis of organizational architecture.
D)  the key components of a barter economy.E) B) and C)
F) A) and D)

Question 9

In all its corporate communications,Always Round Tire features a factory worker looking at the camera saying,"Just keep it rolling!" The reason for this logo is that it:

Accepted Answer

A)  indicates the expectations of the workers.
B)  represents the company's organizational architecture.
C)  represents the image that the company wishes to present to its workers.
D)  indicates that piece rates are the only wages the workers receive.E) B) and D)
F) All of the above

Question 10

Sidney Featherstone of TIP Inc.is the owner and CEO of the company.He has made the company successful through his decision making over the years.This year he decided to retire and move to Costa Rica.He does not intend to change any aspects of decision making,rewards,or performance evaluation in TIP Inc.What is likely to happen to TIP? Why?

Accepted Answer

It is likely to perform poorly,at least ...

Question 11

Within corporations,there are _______ systems that motivate individuals and teams to make the most efficient decisions on products sales.

Accepted Answer

A)  automatic administrative
B)  automatic market-driven
C)  no automatic administrative
D)  no automatic market-drivenE) A) and B)
F) All of the above

Question 12

Are organizational changes always needed?

Accepted Answer

No.Any organizational change should be u...

Question 13

If a manager cannot use his management team to deliver a product profitability to the marketplace,a solution for the board of directors might be to:

Accepted Answer

A)  shut down the operations of the company.
B)  let the manager have more time to figure things out.
C)  fire the manager and reorganize the company.
D)  increase bonuses for the current management.E) None of the above
F) B) and C)

Question 14

The movement of goods and resources within a corporation is done on the basis of:

Accepted Answer

A)  market allocation.
B)  administrative decisions.
C)  technological innovation.
D)  government regulation.E) A) and B)
F) B) and D)

Question 15

If a company picks an organizational architecture that is inappropriate for its marketplace,then:

Accepted Answer

A)  the company is unlikely to survive market competition.
B)  technology is likely to rescue the company from bankruptcy.
C)  competition is likely to help the company to grow.
D)  government regulation is likely to cause the company to fail.E) A) and D)
F) A) and C)

Question 16

If a corporation compares its compensation and performance-evaluation systems to its competitors,it has engaged in:

Accepted Answer

A)  plagiarism.
B)  patent infringement.
C)  benchmarking.
D)  specific knowledge enhancement.E) B) and D)
F) All of the above

Question 17

The components of organizational architecture are ______.

Accepted Answer

A)  interdependent on each other
B)  independent of each other
C)  likely to lead to incentive problems
D)  likely to promote corporate cultureE) A) and B)
F) B) and C)

Question 18

Corporate takeovers have:

Accepted Answer

A)  increased the wealth of shareholders by billions of dollars.
B)  led to increased competition in the product market.
C)  decreased the wealth of shareholders by billions of dollars.
D)  led to stronger corporate cultures.E) A) and D)
F) None of the above

Question 19

A disadvantage associated with decentralizing the decision-making process in an organization is that:

Accepted Answer

A)  the CEO is likely to make suboptimal decisions.
B)  the cost of transferring information between the CEO and other decision makers can be high.
C)  it makes the three legs of the architectural stool of an organization inconsistent with each other.
D)  it prevents firms from benchmarking other firms to determine value-enhancing policies.E) C) and D)
F) B) and D)

Question 20

Economic analysis on empowerment has shown that most firms have:

Accepted Answer

A)  increased profits by delegating decision-making rights to lower-level employees.
B)  used benchmarking to arrive at erroneous conclusions.
C)  failed to delegate decision-making rights to lower-level employees.
D)  failed to use corporate culture to enhance communication and build employee expectations.E) A) and B)
F) None of the above

Exam 11: Organizational Architecture

If a manager cannot use his management team to deliver a product profitability to the marketplace,a solution for the board of directors might be to:

Correct Answer
verified

Correct Answer
verified
By centralizing decision rights she is o...
View Answer

A disadvantage associated with decentralizing the decision-making process in an organization is that:

Correct Answer
verified

If a corporation compares its compensation and performance-evaluation systems to its competitors,it has engaged in:

Correct Answer
verified

In all its corporate communications,Always Round Tire features a factory worker looking at the camera saying,"Just keep it rolling!" The reason for this logo is that it:

Correct Answer
verified

Corporate takeovers have:

Correct Answer
verified

The components of organizational architecture are ______.

Correct Answer
verified

Role models,company folklore,and rituals are:

Correct Answer
verified

Economic theory implies that a mature industry without any significant technological change will tend to have firms with similar architectural structures,similar reward structures,and similar performance systems.Would the power of the marketplace be important in this case?

Correct Answer
verified
The correlation between market structure...
View Answer

Correct Answer
verified
It is likely to perform poorly,at least ...
View Answer

Are organizational changes always needed?

Correct Answer
verified
No.Any organizational change should be u...
View Answer

What is corporate culture?

Correct Answer
verified
Corporate culture usually refers to the ...
View Answer

Correct Answer
verified
They should consider centralizing some d...
View Answer

How do we solve the incentive problem and design optimal architecture?

Correct Answer
verified
In the US economy,the price system solve...
View Answer

Economic analysis on empowerment has shown that most firms have:

Correct Answer
verified

The movement of goods and resources within a corporation is done on the basis of:

Correct Answer
verified

One of the problems with making all the decisions at the top of a business organization is the costliness of:

Correct Answer
verified

If a manager who does not own a company is allowed to make decisions for the company,then:

Correct Answer
verified

If a company picks an organizational architecture that is inappropriate for its marketplace,then:

Correct Answer
verified

Within corporations,there are _______ systems that motivate individuals and teams to make the most efficient decisions on products sales.

Correct Answer
verified

Exam 11: Organizational Architecture

If a manager cannot use his management team to deliver a product profitability to the marketplace,a solution for the board of directors might be to:

Correct AnswerverifiedShow Answer

Correct AnswerverifiedBy centralizing decision rights she is o...View AnswerShow Answer

A disadvantage associated with decentralizing the decision-making process in an organization is that:

Correct AnswerverifiedShow Answer

If a corporation compares its compensation and performance-evaluation systems to its competitors,it has engaged in:

Correct AnswerverifiedShow Answer

In all its corporate communications,Always Round Tire features a factory worker looking at the camera saying,"Just keep it rolling!" The reason for this logo is that it:

Correct AnswerverifiedShow Answer

Corporate takeovers have:

Correct AnswerverifiedShow Answer

The components of organizational architecture are ______.

Correct AnswerverifiedShow Answer

Role models,company folklore,and rituals are:

Correct AnswerverifiedShow Answer

Economic theory implies that a mature industry without any significant technological change will tend to have firms with similar architectural structures,similar reward structures,and similar performance systems.Would the power of the marketplace be important in this case?

Correct AnswerverifiedThe correlation between market structure...View AnswerShow Answer

Correct AnswerverifiedIt is likely to perform poorly,at least ...View AnswerShow Answer

Are organizational changes always needed?

Correct AnswerverifiedNo.Any organizational change should be u...View AnswerShow Answer

What is corporate culture?

Correct AnswerverifiedCorporate culture usually refers to the ...View AnswerShow Answer

Correct AnswerverifiedThey should consider centralizing some d...View AnswerShow Answer

How do we solve the incentive problem and design optimal architecture?

Correct AnswerverifiedIn the US economy,the price system solve...View AnswerShow Answer

Economic analysis on empowerment has shown that most firms have:

Correct AnswerverifiedShow Answer

The movement of goods and resources within a corporation is done on the basis of:

Correct AnswerverifiedShow Answer

One of the problems with making all the decisions at the top of a business organization is the costliness of:

Correct AnswerverifiedShow Answer

If a manager who does not own a company is allowed to make decisions for the company,then:

Correct AnswerverifiedShow Answer

If a company picks an organizational architecture that is inappropriate for its marketplace,then:

Correct AnswerverifiedShow Answer

Within corporations,there are _______ systems that motivate individuals and teams to make the most efficient decisions on products sales.

Correct AnswerverifiedShow Answer

Correct Answer
verified

Correct Answer
verified
By centralizing decision rights she is o...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified
The correlation between market structure...
View Answer

Correct Answer
verified
It is likely to perform poorly,at least ...
View Answer

Correct Answer
verified
No.Any organizational change should be u...
View Answer

Correct Answer
verified
Corporate culture usually refers to the ...
View Answer

Correct Answer
verified
They should consider centralizing some d...
View Answer

Correct Answer
verified
In the US economy,the price system solve...
View Answer

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified

Correct Answer
verified