Organizational Structure

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Question 1
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Organizational structure can have a significant impact on an organization's financial performance.

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Question 2
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As companies grow larger, their organizational charts get simpler.

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Question 3
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Henry Ford was a strong believer in work specialization.

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Question 4
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Employees tend to be more satisfied with jobs that require them to perform a specialized kind of activity.

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Question 5
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In a traditional organizational structure, every employee has one person to whom they report.

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Question 6
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The chain of command helps the organization to attain order, control, and predictable performance.

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Question 7
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A company's chain of control determines how many employees report to each manager.

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Question 8
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Wide spans of control allow managers to be much more hands-on with employees.

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Question 9
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Decentralized organizational structures tend to concentrate power and authority within a relatively tight group of individuals in the firm.

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Question 10
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Organic organizations are efficient, rigid, predictable, and standardized organizations that thrive in stable environments.

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Question 11
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Companies that follow a low-cost producer strategy believe that people will pay more for a product that is unique in some way.

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Question 12
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If technologies need to be changed often to suit consumer needs, the decisions should be centralized.

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Question 13
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As companies become larger, they tend to use a combination of specialization, formalization, and centralization to control their activities, thereby becoming more mechanistic in nature.

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Question 14
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Many small companies evolve into functionally based structures as they grow larger.

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Question 15
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Matrix structures try to take advantage of two types of structure at the same time.

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Question 16
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To keep the stress level low and avoid multiple chains of command issues, managers should adopt the matrix structure.

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Question 17
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Restructuring an organization has a positive impact on task performance because restructuring helps employees view their jobs in new and exciting ways.

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Question 18
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The most common kind of restructuring in recent years has been a "flattening" of the organization.

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Question 19
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Many restructuring efforts are designed to remove one or more organizational layers to reduce costs.

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Question 20
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Many layoff survivors experience a great deal of guilt and remorse following a layoff.

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