Question 1

Under a typical outsourcing arrangement, the company lays off many full-time,
permanent workers and replaces them with full-time, temporary workers
Response: True

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Question 2
In a professional bureaucracy, skills are standardized to increase coordination among
the workers
Response: True

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Question 3
The two major purposes of flat organization structure are to hasten decision-making
and improve customer service
Response: True

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Question 4
The organization structure best suited to gaining the advantage of specialization is
_____ departmentalization
Response: functional

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Question 5
A major goal of reengineering is to eliminate wasted steps in performing a task
Response: True

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Question 6
A flat organization structure
Response: has relatively few layers.
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Question 7
In practice, the distinctions between line groups and staff groups are not always clear-
cut
Response: True

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Question 8
Functional departmentalization is reflected in an organization that organizes work
according to the type of product or service offered to the public
Response: True

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Question 9
You know you are a virtual (or homesourcing) agent when you
Response: perform call center duties out of your home.

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Question 10
Jack and Jill, two executives in a toy company, are part of two in a box when they
Response: share the position of CEO

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Question 11
The organizational practice of offshoring contributes to the globalization of business
Response: True

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Question 12
An organic organization structure, in contrast to a mechanistic one, is
Response: more flexible

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 Question 13
The rules and regulations governing the activities of workers are part of the formal
organization structure.
Response: True

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Question 14
A major contributing factor to the problems associated with a matrix organization is
Response: dual reporting relationships.

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Question 15
The informal organization structure is a
Response: set of unofficial working relationships

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Question 16
When a company uses outsourcing,
Response: certain activities are assigned to other companies.

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Question 17
An informal organization structure carefully describes who reports to whom, and
provides relatively complete job descriptions
Response: True

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Question 18
_____ is the arrangement of people and tasks to accomplish organizational goals
Response: organization structure

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 Question 19
Three major divisions of Microsoft Corporation are labeled (a) platform products &
services, (b) business, and (c) entertainment & devices. This arrangement of the
divisions is best described as _____
Response: product and service departmentalization

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Question 20
During the life of the matrix organization, each project manager has full responsibility
for the members of his or her project group
Response: True