Question

Profit centers are associated with which organizational structure?

A. Functional Structure

B. Simple Structure

C. Geographic Divisional Structure

D. None of the Above

Tall organizations tend to be best suited for?

A. Dynamic Environments

B. Stable Environments

C. Either Dynamic or Stable Environments

D. Neither Dynamic or Stable Environments

The increase in the length of the organization’s hierarchy is called

A. Horizontal Growth

B. Vertical Growth

C. Span of Control

D. Organizational Structure

The structure that combines parts of two other structures is the

A. Functional Structure

B. Product Divisional Structure

C. Geographic Divisional Structure

D. Matrix Structure

Which of the following is not an advantage of flat organizations?

A. Lower Administrative Cost

B. Less Difficulty in Planning

C. Increased authority for managers

D. All of the above are advantages

Which of the following is not an advantage of tall organizations?

A. More Effective Communication

B. Less Difficulty in Planning

C. Increased Authority for Managers

D. All of the above are advantages

Answer 1

Ans: 1 – A – Functional structure

Profit center is associated with functional structure as it take care of result and earning. If functions internally and provide essential service within an organization and work as research department also.   

Ans: 2 – B – Stable Environments

Tall origination normally suit stable environments where there is no need of many middle management and only give command to top management and front line employees because this organization have smaller size and have stable environment in it.

Ans: 3 – C – Span of Control

Organization structure is normally internal structure of the business, this is hierarchical arrangement of authority power and other functions and right. When there is additional of any new designation the hierarchical level increase structure gets increase.

Ans: 4 – D Matrix Structure

Matrix structure meant to be hybrid structure that use two other structure, divisional structure and functional structure. This is one structure that used other two type of structure.