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,Indicate whether the statement is true or false.1. Contingency means that one thing depends on other things, and for organizations to be effective, there must
be a “goodness of fit” between their structure and the conditions of their external environment.
a. True
b. False
2. The structural dimensions of organization design are formalization, specialization, culture, environment,
hierarchy of authority, professionalism, and goals and strategy.
a. True
b. False
3. Outputs of an organization include employees, raw materials and other physical resources, information, and
financial resources.
a. True
b. False
4. Efficiency refers to the amount of resources used to achieve the organization’s goals, whereas effectiveness
refers to the degree to which an organization achieves its goals.
a. True
b. False
5. The classical perspective of organizational design sought to make organizations run like learning
organizations in a turbulent environment.
a. True
b. False
6. A closed system would be autonomous, enclosed, and sealed off from the outside world, whereas an open
system consumes resources and exports resources to the environment.
a. True
b. False
7. Contextual and structural dimensions are NOT dependent on each other.
a. True
b. False
8. Usually, an organization can easily satisfy the demands of all of its stakeholders simultaneously.
a. True
b. False
9. Research has shown that the assessment of multiple stakeholder groups is an accurate reflection of
organizational effectiveness, especially with respect to organizational adaptability.
a. True
b. False
10. The underlying set of key values, beliefs, understandings, and norms shared by employees is referred to as
an organization’s culture.
a. True
b. False
,11. For much of the 20th century, organizations operated in a world that was relatively stable, but today the
environment can be characterized as turbulent.
a. True
b. False
12. Scientific management focused on the total organization and grew from the insights of practitioners.
a. True
b. False
13. In the transformation process, “output” deals with financial resources.
a. True
b. False
14. The stakeholder approach integrates diverse organizational activities by looking at various organizational
stakeholders and what they want from the organization.
a. True
b. False
15. Scientific management focused on primarily the technical core, whereas administrative principles focused on
the design and functioning of the organization as a whole.
a. True
b. False
16. The amount of written documentation in the organization is called formalization.
a. True
b. False
17. Organizations today have rigid boundaries separating them from other organizations.
a. True
b. False
18. The primary level of analysis in organizational theory is first-line supervision.
a. True
b. False
19. In the learning organization, the vertical structure that creates distance between managers at the top and
workers in the technical core is disbanded.
a. True
b. False
20. An organization’s culture is usually contained in the written policy manual.
a. True
b. False
21. A key element of an organization is a building or set of policies and procedures, not the people and their
relationships.
a. True
b. False
, 22. Because of the Hawthorne Studies, a revolution in worker treatment took place and laid the groundwork for
subsequent work examining treatment of workers, leadership, motivation, and human resource management.
a. True
b. False
23. Organization theory is a macro examination of organizational activity, emphasizing structure and behaviour
at the organization level of analysis.
a. True
b. False
24. Common structural variables studied as dimensions of organizations are goals, culture, and environment.
a. True
b. False
25. In the learning organization, everyone knows how the organization works and how everything fits together.
a. True
b. False
Indicate the answer choice that best completes the statement or answers the question.
26. What is demonstrated in the comparison of EllisDon and Tim Hortons in the textbook’s “In Practice”
activity?
a. Larger organizations need to have tight controls at the top.
b. Successful organizations can have very different strategies and goal emphases.
c. A moderate to high level of formalization is crucial to an organization’s success.
d. Centralization is necessary in organizations when they face high levels of competition.
27. What is the key element that makes an organization an organization and not just a group of individuals?
a. buildings and policies
b. people and their relationships
c. profits
d. facilities location
28. Where do nonprofit organizations usually get their resources?
a. government grants
b. selling shares
c. investment income
d. selling goods and services
29. Which statement best describes the learning organization?
a. They place high value on problem solving.
b. They emphasize training as the essential value.
c. They engage people in sessions focused on finding maximum organizational efficiency.
d. They facilitate better decision-making when the environment is unstable.
30. Which one of Mintzberg’s basic parts of an organization deals with functions such as human resources,
organizational development, the employee cafeteria, and maintenance staff?
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