Introduction to Organization and Management
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Questions and Answers

Which characteristic of an organization involves the people who work directly on jobs or tasks?

  • Management
  • Goals
  • Non-managerial employees (correct)
  • Structure

    • All managerial employees are responsible for overseeing the work of others.

    False

    What are the three main characteristics of an organization?

    Goals, people, structure

    ____ means doing a task correctly and getting the most outputs from the least amounts of inputs.

    <p>Efficiency</p> Signup and view all the answers

    What is the primary role of top managers in an organization?

    <p>Make decisions about the direction of the organization</p> Signup and view all the answers

    Match the type of corporation to its definition:

    <p>Multinational corporation (MNC) = Operates in multiple countries Multidomestic corporation = Decentralizes management decisions locally Global corporation = Centralizes management in the home country Transnational organization = Eliminates geographical barriers</p> Signup and view all the answers

    Global sourcing refers to a company that only operates within its home country.

    <p>False</p> Signup and view all the answers

    What does planning in management entail?

    <p>Defining the organizational purpose and ways to achieve it</p> Signup and view all the answers

    What is the primary purpose of human resources management?

    <p>To get, train, and retain competent employees</p> Signup and view all the answers

    Feedforward control takes place after a work activity is completed.

    <p>False</p> Signup and view all the answers

    What is a realistic job preview?

    <p>A preview of a job that provides both positive and negative information.</p> Signup and view all the answers

    The _____ strategy focuses on competing in a niche with either a cost or differentiation focus.

    <p>focus</p> Signup and view all the answers

    Match the following types of control with their descriptions:

    <p>Feedforward control = Controls before an activity commences Concurrent control = Controls while a work activity is in process Feedback control = Controls after a work activity is done</p> Signup and view all the answers

    Which of the following is NOT a competitive strategy?

    <p>Market penetration strategy</p> Signup and view all the answers

    Cross-functional teams are composed of individuals from the same department.

    <p>False</p> Signup and view all the answers

    What are strategic business units (SBUs)?

    <p>Independent businesses that formulate their own competitive strategy.</p> Signup and view all the answers

    Which organizational structure is characterized by a high level of specialization and centralization?

    <p>Mechanistic organization</p> Signup and view all the answers

    In a simple structure, authority is decentralized and distributed among team members.

    <p>False</p> Signup and view all the answers

    What is a key advantage of using employee referrals in the hiring process?

    <p>Knowledge about the organization provided by current employees</p> Signup and view all the answers

    An organization with a flat structure and decentralized decision authority is known as an ______ organization.

    <p>organic</p> Signup and view all the answers

    What is a disadvantage of using private employment agencies?

    <p>High cost</p> Signup and view all the answers

    Match the recruitment method with its primary advantage:

    <p>Internal searches = Low cost and morale building Advertisements = Wide distribution School placement = Centralized body of candidates Temporary help services = Filling temporary needs</p> Signup and view all the answers

    Advertisements can generate many unqualified candidates as a disadvantage.

    <p>True</p> Signup and view all the answers

    What is one disadvantage of using public employment agencies?

    <p>Candidates tend to be lower skilled.</p> Signup and view all the answers

    What is global sourcing?

    <p>Purchasing material or labor from around the world wherever it is cheapest</p> Signup and view all the answers

    Franchising allows one organization to use the name and methods of another without any contractual agreement.

    <p>False</p> Signup and view all the answers

    Name one aspect of social responsibility.

    <p>To do the right things and act in ways that are good for society.</p> Signup and view all the answers

    The __________ involves a direct investment in a foreign country by setting up a separate and independent facility.

    <p>foreign subsidiary</p> Signup and view all the answers

    Match the decision-making approach with its description:

    <p>Rational model = Assumes decision-making will maximize value through logical reasoning Bounded rationality = Limits on the information processed lead to simpler decision-making Intuitive decision making = Based on personal experience and feelings Big Data = Analyzing vast amounts of quantifiable information</p> Signup and view all the answers

    Which of the following is NOT a step in the decision-making process?

    <p>Selling products overseas</p> Signup and view all the answers

    Social obligation means an organization goes beyond what the law requires.

    <p>False</p> Signup and view all the answers

    What is the first step in the strategic management process?

    <p>Identifying the organization's current mission, goal, and strategies.</p> Signup and view all the answers

    Study Notes

    Organization

    • An organization is a deliberate arrangement of people brought together to achieve a specific purpose. It has three key characteristics: goals, people, and structure.
    • An organizational diagram typically depicts roles such as CEO, senior manager, manager, supervisor, and employee.
    • Non-managerial employees perform tasks without overseeing others.
    • Managers direct the activities of others. A hierarchy exists with top managers, middle managers, and first-line managers.
    • Top managers make strategic decisions impacting the organization, middle managers manage other managers and lead, and first-line managers lead non-managerial employees.

    Management

    • Management is the process of efficiently and effectively achieving organizational objectives through people.
    • Efficiency means completing tasks correctly using minimal resources.
    • Effectiveness means completing the right tasks to meet organizational goals.
    • Uncertainty arises in unpredictable situations where individuals struggle to understand and create meaning.
    • Planning involves defining organizational purpose and achieving it.
    • Organizing involves arranging work for goal achievement.
    • Leading involves directing work activities.
    • Controlling involves monitoring, evaluating, and correcting work performance.

    Management Roles

    • Managers fulfill interpersonal (figurehead, leader, liaison), informational (monitor, disseminator, spokesperson), and decisional (entrepreneur, disturbance handler, resource allocator, negotiator) roles.

    Global Sourcing

    • Global sourcing involves procuring materials or labor from around the world at the cheapest price.
    • Exporting involves producing products domestically and selling abroad.
    • Importing involves acquiring products from foreign countries.

    Licensing and Franchising

    • Licensing grants the right to produce or sell products.
    • Franchising grants the right to use a business's name and operating methods.
    • Global strategic alliances involve cooperation between organizations to develop new products.
    • Joint ventures create new organizations for specific business purposes.
    • Foreign subsidiaries are independent facilities in foreign countries.

    Ethics

    • Social responsibility involves acting in ways beneficial to society.
    • Social obligation is meeting legal requirements.
    • Social responsiveness involves adapting to the needs of society.
    • Ethical codes outline organizational values and rules.

    Decision-Making Process

    • Decision-making is a systematic process with steps.
    • Identifying a problem is the first step; this involves recognizing the need for change.
    • Identifying criteria involves determining the various factors that play a role in decision.
    • Allocating weights to criteria establishes priorities among the criteria.
    • Developing alternatives identifies potential options.
    • Analyzing alternatives evaluates the pros and cons of different options.
    • Implementing the alternative involves putting the chosen solution into action.
    • Evaluating effectiveness assesses the impact of the decision made.

    Strategic Management Process

    • Strategic management involves defining the current mission and achieving the organizational goals.
    • This includes identifying internal and external factors.
    • Formulation, implementation, and evaluation also play a significant role.

    Human Resources Management

    • Human resources management involves getting, training, and keeping talented employees.
    • Selection processes include written tests, performance tests, and interviews, all aimed at finding the right fit for the company's needs.

    Control

    • Feedforward control is a proactive approach that controls before an activity begins.
    • Concurrent control happens while activities are ongoing.
    • Feedback control assesses after the completion of an activity.

    Competitive Strategies

    • Differentiation strategy involves creating unique products valued by customers.
    • Focus strategy focuses on a specific niche, either cost or differentiation-oriented.
    • Stuck in the middle happens in situations where a company fails to establish a distinct competitive advantage.
    • Functional strategies are those adopted by various departments to support the competitive strategy.

    Organizational Structure

    • Functional departmentalization groups employees based on their work.
    • Product departmentalization groups employees based on product lines.
    • Customer departmentalization focuses on the needs of specific customer groups.
    • Process departmentalization groups employees based on work flow.
    • Cross-functional teams bring individuals from different departments together.
    • Simple structures have limited departments and centralized authority.
    • Functional structures group similar jobs together under functional specialties (e.g., marketing, finance).
    • Divisional structures group departments focused on products or customer groups.
    • Mechanistic organizations are rigid, formalized, and centralized.
    • Organic organizations are flexible, adaptable, and decentralized.

    Recruitment Methods

    • Employee referrals can generate strong candidates who know the organization.
    • Private employment agencies can deliver qualified candidates.
    • Public employment agencies provide candidates at a lower cost, but may be less skilled.
    • School placements can supply entry-level candidates.
    • Temporary help services are ideal for short-term projects.
    • Employee leasing and independent contractors provide short or long-term help.

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    Description

    This quiz explores the fundamental concepts of organization and management, including their definitions, structures, and roles within an organization. It highlights the distinctions between managerial and non-managerial employees and examines the importance of efficiency and effectiveness in achieving organizational goals.

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