1. Deep expertise in a department is a clear advantage to which organizational structure?

a. Divisional

b. Hybrid

c. Functional

d. Flat

2. The new start-up, Awesome Design is a design company that provides high levels of customization in its products. To achieve this, Awesome Design focuses on its design capabilities and outsources much of the other work to a group loosely connected, autonomous, work units. What type of organizational structure would best describe Awesome Design?

a. network

b. functional

c. matrix

d. hybrid

3. PowerEngine is encountering intense power struggles, complicated reporting relationships, and employees are feeling pulled in multiple directions and seem to be spending lots of time in meetings to coordinate work. Based on these problems, which type of organizational structure would you predict that PowerEngine currently has?

a. Divisional.

b. Matrix.

c. Geography-based.

d. Functional.

4. SmithCo is considering changing their organizational structure. Under what conditions is SmithCo likely to benefit from a matrix structure?

a. SmithCo has a low cost strategy.

b. SmithCo has the need for deep functional expertise as wel as adaptability of its products.

c. SmithCo has a single product and wants to focus on efficiency

d. SmithCo operations call for clear accountability.

5. The CEO of a growing low cost furniture company has decided she needs to restructure her organization.While a functional structure has worked in the past, the recent expansion into 4 new markets outside of the United States has created coordination challenges. As a result, she has decided to create new VP position to oversee each of the 4 global markets. These 4 markets will have their own sales and distribution units within each of the regions. The firm will continue to have a VP for Finance, VP Product Design & Production and VP for Marketing that serve the entire company.Which of following best describes her proposed new structure?

a. Divisional.

b. Matrix.

c. Functional.

d. Hybrid

6. Microsoft's reorganization in 2013 (i.e., "One Microsoft") exemplified which of the following principles:

a. Structure should follow strategy

b. Multiproduct organizations can easily implement functional structures

c. Adopting the organizational structure of a successful competitor is typically a good idea

d. Functional structures tend to work better than divisional structures

7. Which of the following is the most complex integrating mechanism to facilitate coordination across different parts of the organization?

a. Matrix structures

b. Direct contact

c. Task forces

d. Liaison roles

8. A large bank is restructured into two divisions. Each division will focus on distinct services based upon customer type with one focusing on residential and the other on commercial customers. All of the following statements are most likely true, except?

a. Duplicating of functions is likely.

b. A decrease in autonomy for divisional leaders.

c. Increased coordination challenges across product lines.

d. Greater clarity in accounting for each service line's financial contributions.

9. When an organization uses a functional structure, all of the following are likely to be true, except?

a. The organization will likely be slower to react to environmental changes.

b. The organization will likely increase organizational efficiencies.

c. The organization will likely have broad job functions and tend to reward generalists.

d. The organization likely has limited products or services.

10. PrivateCo seems to be benefiting from its functional organization structure. Which of the following statements is most likely to be true about PrivateCo?

a. PrivateCo is a large company experiencing rapid growth.

b. PrivateCo has a relatively wide market focus across different customer types.

c. PrivateCo's operations require strong communication across functions.

d. PrivateCo has few product lines or services.