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Which term describes the relationship between two or more firms that share information electronically to achieve a common goal?


A) Web-based corporations
B) Webworking
C) Transparency
D) E-connected

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

Correct Answer

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In recent years,large organizations have tried to improve their efficiency in communication and decision making by:


A) creating specific rules for everyone to follow.
B) eliminating several layers of management.
C) restructuring into a bureaucratic organization.
D) reducing the span of control for managers.

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

Correct Answer

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The matrix organization is sometimes perceived as a temporary solution to a long-term problem.

A) True
B) False

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The management at Forger Steel Corporation has recently decided to rate their company's processes and products against the results achieved by the world's best at similar processes and products.Forger has adopted a policy of international standardization.

A) True
B) False

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Bureaucracy does not work well in any business today.

A) True
B) False

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The more standardized the work,the wider the span of control.

A) True
B) False

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Which of the following describes the activity of a firm that assigns specific functions,such as accounting or legal work,to other organizations rather than performing these functions themselves?


A) Functional sharing
B) Outsourcing
C) Benchmarking
D) Virtual distribution

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

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Eileen is employed by the personnel department of a corporation with several hundred employees.Her main function is to advise and assist managers in other departments,such as marketing and production,when they make staffing decisions.Eileen's position would be classified as a ___________ position.


A) staff
B) line
C) first-line
D) secondary

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

Correct Answer

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Vaughn Studios organizes its operations by activity,such as production,marketing,accounting,and finance.Vaughn utilizes _____________ departmentalization in order to maximize their efficiency:


A) product
B) customer
C) functional
D) standardized

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

Correct Answer

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To be successful in today's highly competitive market a business needs to:


A) focus on customers and give them what they want.
B) empower their employees.
C) ensure they are using their production facilities as efficiently as possible.
D) produce products that utilized the highest possible capacity of the production facilities.

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

Correct Answer

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Empowering employees to better serve customers requires ________ front-line employees.


A) fewer
B) less training for
C) more support of
D) uniforms for

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

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In large businesses,a line organization provides firms the ability to respond quickly to a changing environment.

A) True
B) False

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Benchmarking compares a company's practices,processes,and products against the world's best.

A) True
B) False

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The traditional technique used to departmentalize an organization is by:


A) function.
B) customer group.
C) geographic area.
D) production process.

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

Correct Answer

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Weber promoted the idea of the pyramid shaped organization structure for large businesses.

A) True
B) False

Correct Answer

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In Weber's view of a bureaucratic organization,the role of bureaucrats was to:


A) make most of the important decisions needed to run the organization.
B) do the actual work involved in producing the organization's goods and services.
C) develop the rules and procedures needed to implement the decisions of top management.
D) make sure the firm obeys all regulations established by the government.

E) None of the above
F) All of the above

Correct Answer

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Managers near the top of an organization have the broadest span of control.

A) True
B) False

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XYZ Industries produces a variety of anti-crime and safety products such as burglar alarms,smoke detectors,surveillance cameras,and specialty locks.XYZ sells to households,businesses,and government agencies.They have found that each market group requires a different marketing strategy.XYZ would probably benefit from departmentalization by:


A) function.
B) process.
C) customer type.
D) market opportunities.

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

Correct Answer

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