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Jack Welch,former CEO of GE,believes that all internal and external organizational boundaries should vanish completely.

A) True
B) False

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Which of the following is NOT a disadvantage of the barrier-free form of organization?


A) Lack of strong leadership can lead to coordination problems.
B) Democratic process can be time-consuming and difficult to manage.
C) Additional integration issues result is a slower response to market changes.
D) If trust among employees is not sufficiently high, organizational performance may suffer.

E) C) and D)
F) None of the above

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Which of the following is NOT a strategic risk of outsourcing?


A) loss of critical skills
B) loss of cross-functional skills
C) loss of control over a supplier
D) loss of non-vital functions

E) B) and D)
F) B) and C)

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Discuss the uses and limitations of the barrier-free organizational structure.What is the role of teams in the barrier-free organization?

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The barrier-free organizational structur...

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What is the name of the practice that many modular organization use to grow?


A) operational effectiveness
B) outsourcing
C) strategic leveraging
D) strategic enabling

E) A) and B)
F) B) and D)

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Effective ambidextrous organizations maintain adaptability,which means that _____________.


A) managers are focused on growth opportunities
B) there is a clear sense of how value is being created in the short-term and how activities are properly integrated and coordinated
C) divisional-goals are consistent with overall corporate goals
D) managers must remain proactive in expanding and/or modifying their product-market scope to anticipate and satisfy market conditions

E) A) and D)
F) B) and C)

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Describe the attributes of a matrix organizational structure.What are the advantages and disadvantages associated with using the matrix organizational form?

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A matrix organizational structure is cha...

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An advantage of the barrier-free form of organizing is that internal cooperation and shared objectives are not required for it to work.

A) True
B) False

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If an international firm has a global strategy and a relatively low level of product diversity,the best choice for its organizational structure is ______________ structure.


A) a worldwide functional
B) a worldwide product division
C) a worldwide matrix
D) an international division

E) C) and D)
F) None of the above

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Describe the attributes of a divisional organizational structure.What are the advantages and disadvantages associated with using the divisional organizational form?

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A divisional organizational structure is...

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Effective ambidextrous organizations have alignment,which means that _____________.


A) employees are rewarded according to both profit and sales growth
B) managers are focused on growth opportunities
C) there is a clear sense of how value is being created in the short-term and how activities are properly integrated and coordinated
D) divisional-level goals are consistent with overall corporate goals

E) A) and B)
F) B) and D)

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The phrase that best defines a virtual organization is _____________.


A) a dot-com company
B) a type of modular structure
C) an organization that uses information technology to integrate different functions
D) a continually evolving network of independent companies

E) B) and C)
F) All of the above

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What type of organization is defined as a central hub surrounded by networks of outside suppliers and specialists?


A) matrix organization
B) virtual organization
C) modular organization
D) barrier-free organization

E) A) and D)
F) A) and C)

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Strategic business unit (SBU) and holding company structures result from extensive _____________.


A) diversification
B) vertical integration
C) international expansion
D) organizational flattening

E) A) and C)
F) A) and B)

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Describe the attributes of a functional organizational structure.What are the advantages and disadvantages associated with using the functional organizational form?

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A functional organizational structure is...

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Global start-ups occur after a corporation has exhausted all other possibilities for domestic growth.

A) True
B) False

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Operational decision making in a large business places excessive demands on top management of the firm.

A) True
B) False

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Procter and Gamble used communities of practice and human resource practices to help it achieve effective collaboration and integration across its different business units.This effort resulted in the successful development of the Crest Whitestrips product and is an example of good use of boundary-constrained organizational design.

A) True
B) False

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A major disadvantage of the matrix structure is that it duplicates the use of specialized personnel,equipment,and facilities.

A) True
B) False

Correct Answer

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Which of the following is not a disadvantage of a divisional type of organizational structure?


A) It can be very expensive compared to a functional organizational structure.
B) There is a strong tendency for divisions to focus on short-term performance.
C) There can be dysfunctional competition among divisions.
D) There is separation of strategic and operating control.

E) B) and D)
F) C) and D)

Correct Answer

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