Business Management: Real World Applications & Connections

Chapter 13: Organizational Structure

TRUE OR FALSE
Please answer the following questions as true or false.


1.	In a company with a flat structure, management has more control over employees than the management does in a company with a tall structure.

		A)	True
		B)	False

2.	Employees performing staff functions contribute only indirectly to a company's profits.

		A)	True
		B)	False

3.	A committee should be set up without pre-established authority figures.

		A)	True
		B)	False

FILL IN THE BLANKS
The following questions require you to find the correct answer that should appear in the blank.


4.	A _____ structure brings together people with different skills in order to meet particular objectives.

		A)	line
		B)	team
		C)	flat
		D)	tall

5.	The _____ acts as the legal representative of a company's stockholders.

		A)	finance department
		B)	human resources department
		C)	CEO
		D)	board of directors

6.	The most important executive in a company is called the _____.

		A)	senior manager
		B)	director
		C)	chief executive officer
		D)	top financial officer

CONNECT THE ORGANIZATIONAL STRUCTURE
Match the organizational structure to the company that would be most likely to employ that structure.


7.	Line and staff structure

		A)	A large architectural firm
		B)	A mid-sized sporting goods manufacturer
		C)	A small greeting card shop

8.	Matrix structure

		A)	A large architectural firm
		B)	A mid-sized sporting goods manufacturer
		C)	A small greeting card shop

9.	Line structure

		A)	A large architectural firm
		B)	A mid-sized sporting goods manufacturer
		C)	A small greeting card shop

MULTIPLE CHOICE QUESTION


10.	What happens when a successful new company makes the transition from stage one in the organizational life cycle to stage two?

		A)	The founder no longer makes all of the decisions
		B)	Managers learn to delegate authority
		C)	Both
		D)	Neither