$1.$ Organizational Structuring

Organizational Structuring

When structuring the organization for market responsiveness, leaders have four general issues to consider. These issues each have advantages and disadvantages. When considering centralization versus decentralization, organizations must consider whether top management should retain greater control.

Select which option is best illustrated by each organization.

App$-$el Games: Programmers at App$-$el Games monitor online gamer communities for fresh ideas. If they find a great idea, they start work on it immediately to be first to market.

multiple choice $1$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

BigAir Boards: Because each department chooses its own parts suppliers, BigAir Boards often experiences delays in getting snowboards from the plants to the stores.

multiple choice $2$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

CCI: At CustomerComputer Inc., all orders for custom$-$designed systems must be approved by the manager, so it can take weeks for customers to receive their new systems.

multiple choice $3$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

Harvey$$s: Whether or not customers at Harvey$$s department store get refunds depends on which clerks help them.

multiple choice $4$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

Motown Motors: Because they have little input on company matters, employees at a satellite location of Motown Motors are unmotivated and feel disconnected from corporate headquarters.

multiple choice $5$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

Mr$.$ Burger: Mr$.$ Burger is able to move customers through quickly during busy hours due to strong management oversight.

multiple choice $6$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

ProTool: Senior management at ProTool tightly controls quality to avoid defects.

multiple choice $7$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure

Ritz Hotels: Employees at Ritz Hotels are authorized to spend, without permission, as much as $$2,000$ to resolve customer problems quickly.

multiple choice $8$

Advantage of a centralized structure

Disadvantage of a centralized structure

Advantage of a decentralized structure

Disadvantage of a decentralized structure