Organization Structure and Department Differentiation

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Questions and Answers

What is a key consideration for managers when determining organization structure?

  • External environment relations
  • Specialization of each department (correct)
  • Interdepartmental competition
  • Uniformity among departments

Which department organizes their functions under a VP of finance according to the text?

  • Housekeeping
  • Administration
  • Emergency
  • Finance (correct)

What is a potential limitation of a strongly specialized organizational structure?

  • Improved understanding of the whole organization
  • Decreased knowledge and skill levels
  • Weakened expertise in specific areas
  • Increased coordination requirements (correct)

How does the functional structure help in organizations?

<p>Consolidates expertise into specific areas (B)</p> Signup and view all the answers

Why do departments in an organization have different structures according to the text?

<p>To interact with different parts of the external environment (C)</p> Signup and view all the answers

In what way does specialization impact employees in an organization?

<p>Reduces knowledge diversity among employees (D)</p> Signup and view all the answers

What is a characteristic of a vertical hierarchy and chain of command structure?

<p>Strong central control and clear reporting relationships (B)</p> Signup and view all the answers

How can collaboration between workers in different departments be improved according to the text?

<p>Through horizontal coordination methods (A)</p> Signup and view all the answers

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