CHAPTER 9: Organization Size, Life Cycle, and Decline

True/False Indicate whether the statement is true or false. T 1. Bureaucratic control involves the use of rules, policies, written documentation, and hierarchies to standardize behaviour and assess performance.

2. Market control refers to the use of social characteristics such as corporate culture, shared values, and traditions to control behaviour. 3. Environmental decline is one of the factors that contributes to overall organizational decline.

4. Jennifer's organization has not been able to deal with decline effectively and is now facing a panic. It can be stated that her corporation is in a crisis stage.

Multiple Choice Identify the choice that best completes the statement or answers the question. 1. Li founded his own retail company. It sells very expensive hand-made jade and lacquer boxes to wealthy art dealers and collectors. The managers at Li's company work well together and have grown to understand the value of teamwork and collaborative efforts. His business is doing very well financially and has grown so large that he is actively considering splitting the organization into several divisions in order to maintain a small company appeal. At which stage of the organizational life cycle would you say Li's company is now? a. Entrepreneurial stage b. Formalization stage c. Collectivity stage d. Elaboration stage 2. Which stage of an organization's life cycle would be most expected to exhibit the characteristics of rapid growth, a mostly informal structure, and employees who are committed to the organization's mission? a. Elaboration b. Collectivity c. Entrepreneurial d. Formalization 3. The ______ stage of an organization's life cycle would most likely be highly bureaucratic with an extensive reward and control system. a. formalization b. entrepreneurial c. collectivity d. elaboration 4. Which of the following would most likely NOT be a step taken by an organization wishing to reduce the amount of bureaucracy within its operations? a. The organization is reducing the number of staff at its headquarters from 15 to 11. b. The organization is granting lower-level employees the authority to make decisions. c. The organization is increasing the number of guidelines employees are

expected to follow. d. The organization provides extensive training for all employees that are hired.

5. When Justin issues a directive to the employees he supervises, his orders are followed without any employee dissent or question. His employees speak very highly of him and have a strong belief in his leadership capabilities. The employees are honoured to be part of his team. Justin most probably possesses _______ authority. a. charismatic b. traditional c. bureaucratic d. rational-legal

6. Johann's company is downsizing its North American operations. What should Johann not do? a. Provide employees with as much information about the situation as possible. b. Help the displaced workers with writing rsums. c. Encourage the displaced employees to suppress their anxiety. d. Provide retained workers with workshops to vent their anger or unhappiness. CHAPTER 11: Innovation and Change

True/False Indicate whether the statement is true or false. T 1. An ambidextrous organization is one that incorporates structures and management processes that are appropriate to both the creation and the use of innovation.

F 2. The use of venture teams is an organically structured organization's approach to supporting its structural base.

F 3. The ambidextrous approach to organizational change compares administrative and technical changes occurring within the internal boundaries of the organization.

T 4. Many barriers to change can exist. These barriers include fear of loss, uncertainty avoidance, and excessive focus on costs.

Multiple Choice Identify the choice that best completes the statement or answers the question. 1. Which of the following situations depicts a radical change taking place within an organization's operations? a. The organization has shifted to a flexible manufacturing process. b. The organization is upgrading its information systems. c. The organization is now offering a stain removal element to its detergent products. d. The organization has developed a new product line, which has led it into new market arenas.

2. When an organization makes changes to its reward system and its labour relations

procedures, it can be stated that the organization is undergoing ____ changes. a. strategy and structure b. technology c. product and service d. culture

3. Which of the following is not necessary to ensure the success of an organizational change process? a. Adoption b. Creativity c. Resources d. Alternatives

4. Key departments involved in new product development do not include _____. a. research and development b. human resource c. production d. marketing

5. If an organization strives to deliver its products and services faster than others within the industry, it is most probably engaging in __________. a. a dual-core approach b. change processes c. radical changes d. timed-based competition

6. A number of recent trends have contributed to the need for organizations to make cultural changes within their operations. Of the following, which one is not considered one of these trends? a. Team formation b. Reengineering c. Diversity d. Horizontal organizing

CHAPTER 12: Decision-Making Processes

True/False Indicate whether the statement is true or false. T 1. Pierre DuBois company is experiencing a problem that has not been encountered before in the life of the company. Pierre has issued a directive for his management staff to devise a way to resolve the current dilemma. The solution the managers derive will most probably be termed a nonprogrammed decision. F 2. The bounded rationality perspective suggests how each manager should attempt to reach a decision. T 3. There are three major decision phases including identification, development, and selection that occur in the incremental decision process. F 4. Problem consensus refers to understanding and agreement about how to solve problems

and reach organizational goals.

Multiple Choice Identify the choice that best completes the statement or answers the question. 1. According to the rational approach perspective, decision-making is actually comprised of eight distinct steps. Which of the following is the fourth step in the decision making process? a. Evaluate alternatives b. Define the decision problem c. Diagnose the problem d. Select the best alternative

2. The _____ of organizational decision-making is based on the work of Richard Cyert, James March, and Herbert Simon. a. incremental decision process model b. Carnegie model c. bounded rationality perspective d. management science approach 3. _______ and his associates are attributed with the development of the ______, which identified each step in the decision making process. a. Henry Mintzberg, bounded rationality perspective b. James March, intuitive decision-making model c. James March, bounded rationality perspective d. Henry Mintzberg, incremental decision process model

4. The ____ deals with the pattern or flow of multiple decisions within organizations. a. Carnegie model b. contingency decision-making framework c. garbage can model d. incremental decision process model

5. Which is not considered a specific consequence of using of the garbage can decision process? a. Problems are resolved but no alternatives have been derived. b. Solutions may be offered even when no problems exist. c. Alternatives are chosen without a resolution to the problem being reached. d. Problems are not resolved and remain without solutions.

6. When a manager persists in following a decision that is clearly failing in reaching its objective, it is known as _________. a. bounded rationality b. intuitive decision-making c. organized anarchy d. escalation of commitment