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    14 Organisation Structure (A Level) : Multiple-Choice Questions

    Uploaded by

    Katherine Pierce

    Copyright:

    © All Rights Reserved
    Download as PDF, TXT or read online from Scribd
    Flag for inappropriate content
    Download as pdf or txt
    of 2

    Cambridge International AS and A Level Business

    14  Organisation structure (A Level)


    Multiple-choice questions
    1 Which one of the following provides the best description of a hierarchical structure?

    a a structure that creates project teams that cut across traditional functional departments

    b a structure where there are layers of the organisation with fewer and fewer people on
    each vertically higher level

    c a structure within which there is strong horizontal communication

    d a structure with a weak chain of command

    2 Which one of the following is considered to be a critical advantage of matrix structures?

    a It promotes teamwork and a focus on what is good for the business rather than the
    department.

    b There is a more clearly defined chain of command than under a bureaucratic structure.

    c Decision-making is centralised.

    d It encourages top-down communication.

    3 Which one of the following outcomes is least likely to be a consequence of a tall


    organisational structure?

    a a wider span of control

    b distortion of messages as they pass from top to bottom of the structure

    c a long chain of command

    d lower levels of the organisation feeling distant from decision-making power

    4 Delegation is defined as:

    a the number of subordinates reporting directly to a manager

    b the route through which authority is passed down an organisation

    c passing authority down the organisational structure

    d centralisation of decision-making

    5 Which one of the following is not generally considered to be an advantage of delegation?

    a it helps develop staff for more senior posts

    b it aids self-actualisation

    c it provides senior management with more time to focus on strategic decisions

    d it ensures that control remains centralised

    © Cambridge University Press 2014  Cambridge International AS and A Level Business Multiple-choice questions – Chapter 14 1
    Cambridge International AS and A Level Business

     6 Delayering is most likely to occur in which of the following situations?

    a retrenchment during an economic recession

    b where management favours a hierarchical structure

    c where management adopts a Theory X attitude towards employees

    d where there are few layers of hierarchy

     7 Which one of the following is not considered to be a likely benefit of delayering?

    a reduces bureaucracy

    b assists two-way communication

    c reduces overhead costs

    d narrows the span of control

     8 Which one of the following statements about staff managers is accurate?

    a They are poorly paid relative to line managers.

    b They do not have line authority over others.

    c They are only used in centralised organisations.

    d They are not part of the formal organisational structure of a business.

     9 A large multinational company has organised its internal management structure to allow
    managers in each of the countries the business operates in to take high level decisions within
    the department that they operate in. This organisation uses a combination of:

    a product and functional structure

    b matrix and hierarchical structure

    c geographical and product structure

    d functional and geographical structure

    10 Which one of the following is not an advantage of a centralised structure?

    a Senior management has tight control over the organisation.

    b It promotes a consistent marketing message.

    c Economies of scale obtained through centralised purchasing are more likely


    to be achieved.

    d Employees are empowered and may be more motivated.

    © Cambridge University Press 2014  Cambridge International AS and A Level Business Multiple-choice questions – Chapter 14 2

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