part A: (10 Marks) CIRCLE '1'\" FOR TRUE AND \"F\" FOR FALSE STATEMENTS. 1. 10. Narrow span of control creates tall hierarchies. Departmentallzatlon by function can be referred to as grouping activities according to a product or market. Centralization concept suggests that responsibility and authority must be concentrated in one place, so that major decisions are made by the central controlling body. Multiple commands can be seen in a matrix organization. Unity of command is the number of subordinates a manager can supervise efciently and effectively. An organization is said to be decentralized if power and authority is delegated from higher levels to lower levels of the organization. Organizational structure has no relationship with organizational charts. if the organization is having few departments, coordination will not be required. Various departments in the Hypermarket operate based on the sequential Interdependence. The Legal Department is a good example of having staff authority. T T Part B: (10 Marks) CHOOSE AND CIRCLE THE MOST APPROPRIATE CORRECT ANSWER 1. The benefit of departmentalization by geographical or location is A. It allows growth and diversity of products and services B. It emphasizes on local market and problems C. It is easier to mobilize specialized skills and place them where they are reciuired D. It develops expertise in customer handling 2. The most important factor that should be considered by a manager in delegating authority to a subordinate is L} A. the capabilities of the subordinates 5.2 B. the sizes of the organization C. the structures of the organization D. the attitude of the supervisor/manager 3- The number 0f employees reporting to a particular manager is referred to: g 3?: A. Scalar principle {g B. Span of delegation ' " C. Span of control D. Specialization 4 Landak Raya is a business organization involved in the distributing. importing and exporting of herbal products. The CEO intends to disperse the authority and decision makings to lower line managers. this is in line with the principle of a A. centralized decision making 8 decentralized decision making C. lower line decision making 0 better decision making '. i n? L- 9'.\" '- .-. -,.~ ..~ , ' .4 .. \" _.- . ~._ \""3 \"(w- . - ,4. . . \"is '9.th :; \"a. s a, W .. .- . w smegma- ' ' z am 3:11. \"fth-Sq: 5. Which is not a benefit of delegation? lt trains employee to make decision It leads to a more involved workforce It leads to a better decision making pom> It leads to a less empower workforce 6. In the matrix structure. an employee may receive A. clear instruction for the work to be done 8. close communication with the boss 0. dual instructions from different bosses D. better attention from the boss 7. The following are characteristics of functional structure except: A. suited to a stable environment B. fosters development of expertise C. offers colleagues for Specialists [1 fosters development of general managers t3. _ The _ _ _ states that there should be a clear line of authority in venous levels of management. A, scalar principle B. accountability principle c, unity of command principle D. centralization principle 9_ The most complicated of interdependence between subunits of an organization can be found in A. Pooled interdependence B Sequential interdependence C. Reciprocal interdependence D None of the above 10. One of the drawbacks of division of workllabor is A. It is easy to assign task to individuals based upon their talents, experience. interests and position B. It increases productivity of the organization C. it will create dissatisfaction and boredom because of the routine and specialized tasks. D. It fosters specialization because it creates simplied tasks that are easily understood and completed very quickly