Organization Structure

Simple structures are flexible and inexpensive, but are often only effective in small organizations.

• True

• False

A __________ structure is composed of self-contained units or divisions.

• Matrix

• Learning

• Simple

• Divisional

Which of the following is the correct order of organizational levels?

• Middle managers, supervisors, operative employees, top management

• Operative employees, supervisors, middle managers, top management

• Middle managers, operative employees, supervisors, top management

• Operative employees, middle managers, supervisors, top management

Which of the following types of organizational structures is normally found in a smaller business with fewer employees?

• Informal structure

• Employer-based structure

• Formal structure

• Employee-based structure

__________ is the principle in which an employee should have only one supervisor to whom he or she is responsible.

• Supervision

• Span of control

• Chain of command

• Work specialization

A __________ organization structure combines the elements of functional and product-based departmentalization.

• Divisional

• Simple

• Matrix

• Learning

Which of the following types of authority can create problems of overlapping authority?

• Functional authority

• Line authority

• Department authority

• Employer authority

A company divides employees into eastern, southern, western and central regions. Which of the following describes such departmentalization?

• Geographic departmentalization

• Product departmentalization

• Target market departmentalization

• Process departmentalization

Which of the following types of departmentalization involves grouping of individuals into departments based on different tasks?

• Product departmentalization

• Target market departmentalization

• Process departmentalization

• Functional departmentalization

Which of the following is NOT one of the considerations when selecting a business structure?

• Customer loyalty

• Size of the business or organization

• Worker skills and responsibilities

• Business purpose