Chapter 14
Restructuring Organizations
Multiple Choice Questions
1. Interventions aimed at structural design include
a. traditional ways of dividing the organization’s overall work
b. integrative and flexible ways of dividing work
c. how to assess work flows
d. A and B
e. all of the above
2. Process structures eliminate ______and ______:
a. process stagnation/autonomy
b. hierarchical/departmental boundaries
c. technology/help work design
d. process stagnation/help job satisfaction
e. none of the above
3 Three traditional organization structures are
a. self-contained, life cycle, and traditional
b. functional, divisional and matrix
c. matrix, hierarchical, and complex
d. self-managed, functional, and traditional
e. none of the above
4. Two organization structures that are more integrative and flexible are
a. process-based and functional
b. self-contained and functional
c. network-based and process-based
d. A and C
e. none of the above
5. Reengineering begins with ______and ______of an organization's context and objectives:
a. strategic planning/implementation
b. process planning/implementation
c. clarification/assessment
d. all of the above
e. none of the above
6. Which requirements are necessary for the success of a matrix structure?
a. dual focus, high information processing capacity, low intra-organizational conflict
b. shared scarce resources, dual focus, and high information processing capacity
c. dual focus, low intra-organizational conflict, shared scarce resources
d. shared scarce resources, dual focus, and low intra-organizational conflict
e. all of the above
7. Which is not a characteristic of a process-based structure?
a. management defines performance metric standards
b. structures organized around 3-5 key processes that define the work of the organization
c. work is simplified by removing non-essential tasks and reducing layers of management
d. teams are fundamental
8. Which of the following is not one of the four basic network-based structures?
a. internal market network
b. opportunity network
c. strategic market network
d. aftermarket network
e. vertical market network
9. The customer centric organization enables an organization to ______.
a. respond quickly to changing customer preferences
b. develop a clear cut marketing strategy
c. operate without reliance on lateral relationships
d. B and C
e. None of the above
10. Customer centric organizations work best under which of the following conditions?
a. stable and predictable markets
b. uncertain and complex markets
c. larger, mature organizations
d... A and C
e. B and C
11. Which of the following is a key step in the downsizing intervention?
a. working without a clear strategy
b. announcing the layoffs early in the process
c. addressing the needs of survivors and those who leave
d. clarifying the strategy after the layoffs
12. Which is not a characteristic of reengineering?
a. involves a fundamental rethinking of work
b. vertical disaggregation of structure
c. radical redesign of business processes
d. associated with downsizing and work redesign
e. streamlines work processes or makes them faster and more flexible
13. Network structures typically have the following characteristics
a. vertical disaggregation
b. brokers
c. coordinating mechanisms
d. A, B, and C
e. none of the above
True/False Questions
14. Global competition, rapid technological and environmental changes are forcing organizations to become more hierarchical and immutable.
15. Diagnostic guidelines are extremely important for determining the appropriate structure for a particular organization.
16. The primary goal of any team in a process-based structure is quality of work life.
17. Downsizing is generally a response to at least two major conditions: organization decline due to implementation of a new structure or opposition to growth and expansion issues.
18. Process-based structures remove layers of management, and consequently information flows more quickly and accurately throughout the organization.
19. The matrix structure is the best and most flexible organization structure.
20. Process-based structures generally appear in small to medium sized organizations having several products or projects.
21. Process-based structures are essential for eliminating many of the hierarchical and departmental boundaries that can impede task coordination.
22. When sub-units operate as independent profit centers, an internal market network exists.
23. It is possible to have the self-contained unit and matrix organization structure in the same organization at the same time.
24. Network forms of organizations are quite efficient but not very flexible and adaptive.
Essay Questions
25. Compare the two primary technostructural interventions (downsizing and reengineering) discussed in this chapter and note their general differences and similarities.
26. Describe either a functional, self-contained, or matrix structure and discuss its advantages and disadvantages.
27. Discuss the difference between process-based and network-based structures.
28. Under what conditions are customer-centric structures appropriate? What challenges does this type of organization structure face and why?
29. Describe the short term, medium and longer term approaches to downsizing. What are the key differences between them?
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