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Which of the following approaches considers organizational culture?


A) Technical
B) External resource
C) Internal system
D) Transaction cost

E) A) and D)
F) B) and D)

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You are a consultant to Company X. The CEO insists that effectiveness must be evaluated by an increase in stock price to satisfy stockholders. The marketing vice president insists that the main goal is to reduce the time to bring products to the customer. The manufacturing vice president states that costs should be the key focus of the organization. What approach is each manager using to evaluate organizational effectiveness, and what can this organization do to ensure that effectiveness is properly evaluated?

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Goals will often conflict, but the three...

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Which of the following approaches is concerned with measuring productivity?


A) External resource
B) Technical
C) Transaction cost
D) Internal system

E) B) and C)
F) All of the above

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An organization's output include all except___________ .


A) suppliers
B) finished goods
C) services
D) value for stakeholders

E) B) and C)
F) C) and D)

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Compare and contrast how structure played a role in the success/failure of Michael Dell at Dell Computer versus Steven Jobs at Apple computer.

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This case shows students how important t...

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The ___________is a method that allows managers to evaluate how effectively an organization functions and operates.


A) internal research approach
B) technical approach
C) economic approach
D) external research approach

E) A) and B)
F) A) and C)

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One of the difficulties in studying organizations is that they are intangible. In other words, we cannot touch or see them.

A) True
B) False

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A computer manufacturer was concerned about its effectiveness, so it eliminated a level in its hierarchy and decentralized decision- making authority. Which of the following approaches is it using to evaluate organizational effectiveness?


A) External resource
B) Transaction cost
C) Internal system
D) Technical

E) C) and D)
F) A) and B)

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When organizational design is poor,___________ .


A) bureaucratic costs are lower
B) managers usually increase the number of products offered
C) managers usually increase R&D expenses
D) an organization will decline

E) B) and C)
F) None of the above

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Differences in race, gender, and national origin of organizational members pertain to___________ .


A) organizational design
B) diversity
C) competitive advantage
D) efficiency and innovation

E) All of the above
F) None of the above

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An organization's mission as stated in public documents is an official goal.

A) True
B) False

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The internal systems approach evaluates an organization's ability to obtain resources.

A) True
B) False

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A large restaurant chain decides that they are going to start serving breakfast in order to better utilize the expense equipment that they purchased to cook with. They are taking advantage of:


A) transaction costs.
B) economies of scope.
C) outputs.
D) economies of scale.

E) None of the above
F) All of the above

Correct Answer

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At Microsoft, to control scientists and make use of their talents, Bill Gates put them in teams. This was a change in _____________.


A) theory
B) strategy
C) structure
D) culture

E) A) and B)
F) A) and C)

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___________are cost savings that result when goods and services are produced in large volume on automated production lines.


A) Inputs
B) Output
C) Economies of scale
D) Economies of scope

E) C) and D)
F) A) and D)

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If a company uses the external resource approach, which of the following goals will it consider most important?


A) Increasing the rate of product innovation
B) Reducing conflict
C) Raising stock price
D) Reducing production costs

E) C) and D)
F) None of the above

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___________is the ability of one company to outperform another because its managers are able to create more value from the resources at their disposal.


A) Managerial expertise
B) Organizational design
C) Strategy
D) Competitive advantage

E) B) and C)
F) None of the above

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In the conversion process, an organization creates value by applying all except ___________.


A) raw materials
B) computers
C) human skills
D) machinery

E) All of the above
F) A) and B)

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___________is a tool used by people to coordinate their actions to obtain something they desire or value.


A) A hierarchy
B) Shareholder wealth
C) Entrepreneurship
D) An organization

E) All of the above
F) B) and D)

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The specific pattern of decisions and actions that managers take in order to use core competences to achieve a competitive advantage is called___________ .


A) strategy
B) organizational design
C) change management
D) the organization's mission

E) A) and B)
F) A) and C)

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