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Organizational Business Functions I (OBFI) - Organizational Structures Quiz

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Organizational Business Functions I (OBFI) - Organizational Structures Quiz

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Questions and Answers

What does authority grant in an organization?

Decision-making hierarchy

Departmentalization

Responsibility (correct)

Power and rights

What is the outcome of authority according to the text?

Centralization

Work Specialization

Span of Control

Responsibility (correct)

What can result from overspecialization in an organization?

Specialized training demand

Higher turnover (correct)

Increased productivity

Efficiency in decision making

What does departmentalization involve in an organization?

Grouping activities by function, product, geography, process, or customer Signup and view all the answers

What does centralization refer to in an organizational structure?

Concentration of decision making at a single point Signup and view all the answers

Which term describes the unbroken line of authority from the top of the organization to the lowest level?

Chain of Command Signup and view all the answers

Which of the following is NOT a characteristic of organizational structure?

Determining the allocation of financial resources Signup and view all the answers

What is the primary purpose of an organizational structure?

To define the hierarchy and reporting relationships within an organization Signup and view all the answers

Which of the following statements about organizational structure is NOT true?

It is a static and inflexible system that cannot be modified Signup and view all the answers

In the context of organizational structure, what does the term 'authority' refer to?

The power to make decisions and allocate resources Signup and view all the answers

Which of the following is NOT a commonly used type of organizational structure?

Decentralized autonomous structure Signup and view all the answers

What is the primary role of an organizational structure?

To define a hierarchy and assign responsibilities and decision-making authority Signup and view all the answers