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The number of workers who report directly to one manager is called


A) authority.
B) accountability.
C) responsibility.
D) the span of management.
E) centralization.

F) A) and C)
G) C) and D)

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Select a local organization and discuss the basis on which it is organized.

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Answers will vary. A local or regional r...

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Green Sports Incorporated is a small start-up company that manufactures and markets sports equipment made from recycled materials. Green Sports is best suited to base its departmentalization on product.

A) True
B) False

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The number of subordinates reporting directly to one manager is called


A) the chain of command.
B) a decentralized organization.
C) a centralized organization.
D) the span of control.
E) the management hierarchy.

F) All of the above
G) A) and D)

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Informal groups are never powerful within an organization.

A) True
B) False

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False

When a functional structure is combined with a project structure, the resulting structure is called a(n) ____ structure.


A) line-and-staff
B) network
C) integrated
D) matrix
E) hybrid

F) B) and E)
G) A) and B)

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Rockwood International needs to make risky decisions on a daily basis. Therefore, its managers are likely to


A) centralize decision making.
B) let lower-level managers make important decisions.
C) train lower-level managers to make more decisions.
D) decentralize authority.
E) centralize rare skills.

F) A) and D)
G) D) and E)

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Describe each of the three primary types of committees that exist in business firms. Offer one specific example of each.

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An ad hoc committee is created for a spe...

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Boss Queen, Inc. (BQI) Boss Queen, Inc. (BQI) is a business-clothing store for professional women. The owner of the company has designed the business so that she hardly ever has to be ther -Refer to Boss Queen, Inc. The group of employees that participate in outside activities on the weekend would be considered a(n) ____ group.


A) informal
B) inspirational
C) affirmative
D) business
E) departmental

F) None of the above
G) B) and E)

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After years of research, theorists have decided that the optimal span of management is one manager per twenty employees.

A) True
B) False

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Boss Queen, Inc. (BQI) Boss Queen, Inc. (BQI) is a business-clothing store for professional women. The owner of the company has designed the business so that she hardly ever has to be ther -Refer to Boss Queen, Inc. BQI can best be described as a(n) ____ organization.


A) span of management
B) decentralized
C) ad hoc
D) centralized
E) autocratic

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

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Cross-functional teams are not very effective structures to use when developing a new product or service.

A) True
B) False

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The more complex and uncertain a company's environment, the more likely it is that the company will


A) decentralize the organization.
B) have a split between decentralized and centralized decision making.
C) centralize the organization.
D) increase the span of control, thus increasing the number of employees on board.
E) decrease the span of control, thus decreasing the workforce.

F) D) and E)
G) C) and D)

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Since Sears operates in a complex and dynamic environment, its store managers are given significant freedom to run their stores. This indicates that top leaders at Sears


A) centralize decision making.
B) deemphasize lower-level management training.
C) control their managers tightly.
D) deemphasize lower-level management accountability.
E) decentralize authority.

F) None of the above
G) B) and E)

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​The ___ is the line of authority that extends from the highest to the lowest levels of the organization.


A) ​chain of command
B) ​organizational chart
C) ​organization
D) ​departmental conundrum

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

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The ____ structure is considered the simplest and the oldest form of organizational structure.


A) cross-functional team
B) matrix
C) formal
D) line-and-staff
E) line

F) D) and E)
G) B) and D)

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Dramatic Expressions Dramatic Expressions is a home decorating company that sells many different household accessories ranging from candles to entertainment centers. Wanda is the CEO of the company. She feels that there is not enough specialization within the company and wants to organize the business in a different way. Wanda thinks that the company would be more effective if it were to switch to a new way of organization. For example, there could be a manager in charge of the candles, a different manager in charge of the entertainment centers, and so on. Another issue that Wanda wants to resolve is that of delegation. She believes that if she could improve her delegating, employees would feel more empowered and want to go above and beyond what they are required to do. There are certain reasons that Wanda has a hard time delegating to others, but she is confident that the problem will be overcome if she works on it. -Refer to Dramatic Expressions. Wanda could best improve delegation by


A) increasing specialization.
B) explaining the purpose of each task.
C) investing the capital necessary for success.
D) changing each job station.
E) decreasing job specialization.

F) None of the above
G) B) and D)

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Which organizational structure is also called a virtual organization?


A) Matrix
B) Informal
C) Line-and-staff
D) Network
E) Line

F) B) and C)
G) A) and B)

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D

Many online companies strive to have a corporate culture based on trust and friendship among employees, a strong commitment to the company, and a relaxed and informal atmosphere. This is a ____ culture.


A) communal
B) fragmented
C) networked
D) family
E) mercenary

F) A) and D)
G) C) and D)

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Angered by the informal discussions among employees, a supervisor has posted rules against rumors, gossip, and discussions about the company's financial situation as well as other company matters. Your managerial know-how tells you that this supervisor is


A) trying to support employees' First Amendment rights.
B) trying to eliminate inaccurate information.
C) making a big mistake by trying to eliminate the grapevine.
D) recognizing the need for a grapevine.
E) attempting to use the grapevine as a managerial tool.

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

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C

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