(Test Bank) Organization Theory and Design

Daft., 12

Business

Test Bank

12th Edition

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Test Bank for Organization Theory and Design, The downloadable file consists of 319 pages, and the total size of the file is 4.7 MB. Purchase now only for highly discounted price.

Author(s): Daft.

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Cengage Learning Testing, Powered by Cognero Page 1 Test Bank for Organization Theory and Design 12th Edition by Richard L. Daft. 1. Organization design: a. encompasses larger elements that influence structural dimensions, including the organization’s size, technology, environment, culture, and goals. b. gives us the tools to evaluate and understand how and why some organizations grow and succeed while others do not. c. obtains inputs from the external environment, adds value through a transformation process, and discharges products and services back to the environment. d. provides labels to describe the internal characteristics of an organization. ANSWER: b RATIONALE: Feedback: Organization design gives us the tools to evaluate and understand how and why some organizations grow and succeed while others do not. It helps us explain what happened in the past, as well as what might happen in the future, so that we can manage organizations more effectively. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -03 - 01-03 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organi zation Design in Action KEYWORDS: Bloom’s: Understand 2. _____ refers to economic development that generates wealth and meets the needs of the current generation while saving the environment so future generations can meet their needs as well. a. Centralization b. Formalization c. Contingency d. Sustainability ANSWER: d RATIONALE: Feedback: Many companies are embracing the philosophy of sustainability, which refers to economic development that generates wealth and meets the needs of the current generation while saving the environment so future generations can meet their needs as well. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organizat ion Design in Action KEYWORDS: Bloom’s: Understand Cengage Learning Testing, Powered by Cognero Page 2 3. Pendant Inc., a retail chain based in England, has implemented an energy -efficient trucking fleet. It is increasing its use of green materials in buildings, and aims to dispose all the waste of the company by 2025. Which of the following measures is Pendant Inc. focusing its efforts on? a. Going green b. Scientific management c. Contingency d. Centralization ANSWER: a RATIONALE: Feedback: Pendant Inc. is focusing its efforts on going green . Going green has become a new business imperative, driven by shifting social attitudes, new government policies, climate changes, and the information technology that quickly spreads news of a corporation’s negative impact on the environment. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Reflective Thinking TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Apply 4. _____ refers to technologies, skills, and processes for searching and examining massive sets of data to uncover hidden patterns and correlations. a. Scientific management b. Social business c. A social media program d. Big data analytics ANSWER: d RATIONALE: Feedback: Big data analytics refers to technologies, skills, and processes for searching and examining massive sets of data to uncover hidden patterns and correlations. Big data is not just for online companies. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Remember 5. Which of the following is a difference between for-profit businesses and nonprofit organizations? a. Financial resources for for-profit businesses come from government appropriations, grants, and donations, while nonprofit organizations are funded by the sale of products or services to customers. b. In for-profit businesses, managers focus on improving an organization’s products and services to increase sales revenues, while in nonprofit organizations, however, services are typically provided to nonpaying clients. c. For-profit businesses are committed to servicing clients with limited funds, while nonprofit organizations have access to unlimited funds to service clients. Cengage Learning Testing, Powered by Cognero Page 3 d. In for-profit businesses, services are typically provided to nonpaying clients, while in nonprofit organizations, services are typically provided to paying clients. ANSWER: b RATIONALE: Feedback: In for-profit businesses, managers focus on improving an organization’s products and services to increase sales revenues. In nonprofits, however, services are typically provided to nonpaying clients, and a major problem for many organizations is securing a steady stream of funds to continue operating. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -01 - 01-01 NATIONAL STAN DARDS: United States - AACSB: Analytic TOPICS: What is an Organization? KEYWORDS: Bloom’s: Understand 6. _____ provide labels to describe the internal characteristics of an organization. a. Functional dimensions b. Administrative principles c. Contingency factors d. Structural dimensions ANSWER: d RATIONALE: Feedback: Structural dimensions provide labels to describe the internal characteristics of an organization. They create a basis for measuring and comparing organizations. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 7. _____ encompass larger elements that influence structural dimensions, including an organization’s size, technology, environment, culture, and goals. a. Functional dimensions b. Administrative principles c. Contingency factors d. Structural dimensions ANSWER: c RATIONALE: Feedback: Contingency factors encompass larger elements that influence structural dimensions, including an organization’s size, technology, environment, culture, and goals. They describe the organizational setting that influences and shapes the structural dimensions. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic Cengage Learning Testing, Powered by Cognero Page 4 TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 8. Which of the following is true of contingency factors? a. They describe the organizational setting that influences and shapes the structural dimensions. b. They create a basis for measuring and comparing organizations. c. They provide labels to describe the internal characteristics of an organization. d. They describe who reports to whom and the span of control for each manager. ANSWER: a RATIONALE: Feedback: Contingency factors encompass larger elements that influence structural dimensions, including the organization’s size, technology, environment, culture, and goals. They describe the organizational setting that influences and shapes the structural dimensions. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Understand 9. _____ pertains to the amount of written documentation in an organization. a. Centralization b. Specialization c. Decentralization d. Formalization ANSWER: d RATIONALE: Feedback: Formalization pertains to the amount of written documentation in an organization. Documentation includes procedures, job descriptions, regulations, and policy manuals. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 10. _____ is the degree to which organizational tasks are subdivided into separate jobs. a. Centralization b. Specialization c. Decentralization d. Formalization ANSWER: b Cengage Learning Testing, Powered by Cognero Page 5 RATIONALE: Feedback: Specialization is the degree to which organizational tasks are subdivided into separate jobs. Specialization is sometimes referred to as the division of labor. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 11. _____ describes who reports to whom and the span of control for each manager. a. Organizational technology b. Scientific management c. Hierarchy of authority d. Administrative principles ANSWER: c RATIONALE: Feedback: Hierarchy of authority describes who reports to whom and the span of control for each manager. The hierarchy is related to span of control (the number of employees reporting to a supervisor). POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 12. _____ refers to the number of distinct departments or activities within an organization. a. Complexity b. Specialization c. Decentralization d. Formalization ANSWER: a RATIONALE: Feedback: Complexity refers to the number of distinct departments or activities within an organization. Complexity can be measured along three dimensions: vertical, horizontal, and spatial. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 13. _____ complexity is the number of levels in the hierarchy of an organization. a. Spatial b. Vertical Cengage Learning Testing, Powered by Cognero Page 6 c. Lateral d. Horizontal ANSWER: b RATIONALE: Feedback: Complexity can be measured along three dimensions: vertical, horizontal, and spatial. Vertical complexity is the number of levels in the hierarchy. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 14. _____ complexity is the degree to which an organization’s departments and personnel are dispersed geographically. a. Spatial b. Vertical c. Lateral d. Horizontal ANSWER: a RATIONALE: Feedback: Complexity can be measured along three dimensions: vertical, horizontal, and spatial. Spatial complexity is the degree to which an organization’s departments and personnel are dispersed geographically. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 15. _____ refers to the tools, techniques, and actions used to transform inputs into outputs. a. Organization design b. Organizational performance c. Organizational technology d. Organizational behavior ANSWER: c RATIONALE: Feedback: Organizational technology refers to the tools, techniques, and actions used to transform inputs into outputs. It concerns how the organization actually produces the products and services it provides for customers and includes such things as flexible manufacturing, advanced information systems, and the Internet. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -04 - 01-04 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember Cengage Learning Testing, Powered by Cognero Page 7 16. _____ refers to the amount of resources used to achieve an organization’s goals. a. Effectiveness b. Contingency c. Sustainability d. Efficiency ANSWER: d RATIONALE: Feedback: Efficiency refers to the amount of resources used to achieve an organization’s goals. It is based on the quantity of raw materials, money, and employees necessary to produce a given level of output. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -05 - 01-05 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 17. _____ is the degree to which an organization achieves its goals. a. Effectiveness b. Contingency c. Sustainability d. Efficiency ANSWER: a RATIONALE: Feedback: Efficiency refers to the amount of resources used to achieve an organization’s goals. Effectiveness is a broader term, meaning the degree to which the organization achieves its goals. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -05 - 01-05 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Dimensions of Organization Design KEYWORDS: Bloom’s: Remember 18. _____ primarily focus on the design and functioning of an organization as a whole. a. Structural dimensions b. Administrative principles c. Contingency factors d. Functional dimensions ANSWER: b RATIONALE: Feedback: Whereas scientific management focused primarily on the technical core—on work performed on a shop floor—administrative principles looked at the design and functioning of an organization as a whole. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -06 - 01-06 Cengage Learning Testing, Powered by Cognero Page 8 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Evolution of Organization Design KEYWORDS: Bloom’s: Remember 19. _____ emphasize designing and managing organizations on an impersonal, rational basis through such elements as clearly defined authority and responsibility, formal recordkeeping, and uniform application of standard rules. a. Structural dimensions b. Administrative principles c. Contingency factors d. Bureaucratic organizations ANSWER: d RATIONALE: Feedback: Bureaucratic organizations emphasize designing and managing organizations on an impersonal, rational basis through such elements as clearly defined authority and responsibility, formal recordkeeping, and uniform application of standa rd rules. Although the term bureaucracy has taken on negative connotations in today’s organizations, bureaucratic characteristics worked extremely well for the needs of the Industrial Age. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -06 - 01-06 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Evolution of Organization Design KEYWORDS: Bloom’s: Remember 20. A(n) _____ design means that an organization is much looser, free-flowing, and adaptive. a. organic b. specialized c. vertical d. mechanistic ANSWER: a RATIONALE: Feedback: An organic design means that an organization is much looser, free-flowing, and adaptive. Rules and regulations often are not written down or, if written down, are flexibly applied. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Remember 21. Subzero Enterprises is a publishing company based in the United States of America. The company has 70 employees. Information flows in all directions within and across departments and hierarchical levels. The rules and regulations at Subzero Enterprises are flexibl y applied. Subzero Enterprises follows a(n) _____ design. Cengage Learning Testing, Powered by Cognero Page 9 a. vertical b. specialized c. organic d. mechanistic ANSWER: c RATIONALE: Feedback: Subzero Enterprises follows an organic design. An organic design means that an organization is much looser, free-flowing, and adaptive. Rules and regulations often are not written down or, if written down, are flexibly applied. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACS B: Reflective Thinking TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Apply 22. Which of the following contingency factors will influence whether an organization is more effective with a primarily mechanistic organization design? a. Service technology b. Large size c. Adaptive culture d. Innovation strategy ANSWER: b RATIONALE: Feedback: Various contingency factors will influence whether an organization is more effective with a primarily mechanistic or a primarily organic design. Large size, efficiency strategy, stable environment, rigid culture, manufacturing technology are the typical contingency factors that will influence whether the organization is more effective with a primarily mechanistic organization design. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Understand 23. Which of the following contingency factors will influence whether an organization is more effective with a primarily organic design? a. Manufacturing technology b. Stable environment c. Adaptive culture d. Efficiency strategy ANSWER: c RATIONALE: Feedback: Various contingency factors will influence whether an organization is more effective with a primarily mechanistic or a primarily organic design. Small size, innovation strategy, changing environment, Cengage Learning Testing, Powered by Cognero Page 10 adaptive culture, service technology are the typical contingency factors that will influence whether the organization is more effective with a primarily organic organization design. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Understand 24. At Infosoft Solutions, employees are encouraged to take care of their problems by working with one another and with customers, using their discretion to make decisions. From this information, it can be understood that Infosoft Solutions is a _____ organization. a. decentralized b. centralized c. mechanistic d. bureaucratic ANSWER: a RATIONALE: Feedback: Infosoft Solutions is a decentralized company. With decentralization, decision -making authority is pushed down to lower organizational levels. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Reflective Thinking TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Apply 25. A _____ is a narrowly defined piece of work assigned to a person. a. task b. role c. job d. designation ANSWER: a RATIONALE: Feedback: A task is a narrowly defined piece of work assigned to a person. With a mechanistic design, tasks are broken down into specialized, separate parts, as in a machine, with each employee performing activities according to a specific job description. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Remember Cengage Learning Testing, Powered by Cognero Page 11 26. A _____ has discretion and responsibility, allowing a person to use his or her judgment and ability to achieve an outcome or meet a goal. a. task b. role c. structure d. system ANSWER: b RATIONALE: Feedback: A role is a part in a dynamic social system. A role has discretion and responsibility, allowing a person to use his or her judgment and ability to achieve an outcome or meet a goal. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Remember 27. Which of the following types of communication is emphasized by mechanistic organizations? a. Lateral communication b. Spatial communication c. Horizontal communication d. Vertical communication ANSWER: d RATIONALE: Feedback: Mechanistic organizations emphasize vertical communication up and down the hierarchy. Top managers pass information downward to employees about goals and strategies, job instructions, procedures, and so forth, and in turn ask that employees provide information up the hierarchy concerning problems, performance reports, financial information, suggestions and ideas, and so forth. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Remember 28. Which of the following types of communication is emphasized by organic organizations? a. Lateral communication b. Spatial communication c. Horizontal communication d. Vertical communication ANSWER: c RATIONALE: Feedback: In an organic organization, there is greater emphasis on horizontal communication, with information flowing in all directions within and across departments and hierarchical levels. The widespread sharing of Cengage Learning Testing, Powered by Cognero Page 12 information enables all employees to have complete information about the company so they can act quickly. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -07 - 01-07 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: The Contrast of Organic and Mechanistic Designs KEYWORDS: Bloom’s: Remember 29. _____ is the micro approach to organizations because it focuses on the individuals within organizations as the relevant units of analysis. a. Organizational behavior b. Organization design c. Organization theory d. Organizational culture ANSWER: a RATIONALE: Feedback: Organizational behavior is the micro approach to organizations because it focuses on the individuals within organizations as the relevant units of analysis. Organizational behavior examines concepts such as motivation, leadership style, and personality and is concerned with cognitive and emotional differences among people within organizations. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -03 - 01-03 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Framework for the Book KEYWORDS: Bloom’s: Remember 30. Which of the following is a difference between organization design and organizational behavior? a. Organization design focuses on individuals within organizations, while organizational behavior analyzes the whole organization as a unit. b. Organization design is concerned with cognitive and emotional differences among people within organizations, while organizational behavior is concerned with the differences in structure and behavior at the organization level of analysis. c. Organization design is concerned with lower management, while organizational behavior is concerned with top- and middle -manage ment. d. Organization design might be considered the sociology of organizations, while organizational behavior is the psychology of organizations. ANSWER: d RATIONALE: Feedback: Organization design might be considered the sociology of organizations, while organizational behavior is the psychology of organizations. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -08 - 01-08 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Framework for the Book Cengage Learning Testing, Powered by Cognero Page 13 KEYWORDS: Bloom’s: Understand 31. The growing global interdependence means that the environment for companies has become less complex and competitive. a. True b. False ANSWER: False RATIONALE: Feedback: The growing global interdependence creates new advantages, but it also means that the environment for companies has become extremely complex and extremely competitive. Customers want low prices for quality goods and services, and the organizations that can meet that demand will win. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Understand 32. Outsourcing firms in low-wage countries can often do work for 50 to 60 percent more than companies based in the United States. a. True b. False ANSWER: False RATIONALE: Feedback: Outsourcing firms in low-wage countries can often do work for 50 to 60 percent less than companies based in the United States, for instance, so U.S. firms that provide similar services have to search for new ways to compete or go into new lines of business. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Understand 33. Social media programs decrease efficiency and productivity and facilitate slower operations. a. True b. False ANSWER: False RATIONALE: Feedback: Social media programs, including a company’s online community pages, wikis for virtual collaboration, social media sites such as Facebook or LinkedIn, video channels such as YouTube, microblogging platforms such as Twitter, and compa ny online forums, can improve efficiency, increase productivity, and facilitate faster and smoother operations by improving communication and collaboration within and across firms. POINTS: 1 Cengage Learning Testing, Powered by Cognero Page 14 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Understand 34. Social media can build stronger, more authentic relationships between managers and employees. a. True b. False ANSWER: True RATIONALE: Feedback: Social media technology is being used by companies to build relationships with customers. It can build stronger, more authentic relationships between managers and employees. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Understand 35. Big data analytics can only be employed by online companies. a. True b. False ANSWER: False RATIONALE: Feedback: Big data is not just for online companies. Walmart collects more than 2.5 petabytes of data every hour from customer transactions and uses those data to make better decisions. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -02 - 01-02 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: Organization Design in Action KEYWORDS: Bloom’s: Remember 36. Organizations are social entities that are only linked to the internal environment. a. True b. False ANSWER: False RATIONALE: Feedback: Organizations are (1) social entities that (2) are goal-directed, (3) are designed as deliberately structured and coordinated activity systems, and (4) are linked to the external environment. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -01 - 01-01 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: What is an Organization? Cengage Learning Testing, Powered by Cognero Page 15 KEYWORDS: Bloom’s: Remember 37. An organization is a building or a set of policies and procedures. a. True b. False ANSWER: False RATIONALE: Feedback: An organization is not a building or a set of policies and procedures; organizations are made up of people and their relationships with one another. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -01 - 01-01 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: What is an Organization? KEYWORDS: Bloom’s: Remember 38. An organization exists when people interact with one another to perform essential functions that help attain goals. a. True b. False ANSWER: True RATIONALE: Feedback: An organization is not a building or a set of policies and procedures; organizations are made up of people and their relationships with one another. An organization exists when people interact with one another to perform essential functions that help attain goals. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -01 - 01-01 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: What is an Organization? KEYWORDS: Bloom’s: Remember 39. An organization obtains inputs from the external environment, adds value through a transformation process, and discharges products and services back to the environment. a. True b. False ANSWER: True RATIONALE: Feedback: An organization obtains inputs from the external environment, adds value through a transformation process, and discharges products and services back to the environment. POINTS: 1 LEARNING OBJECTIVES: ORGT.DAFT.16.01 -01 - 01-01 NATIONAL STANDARDS: United States - AACSB: Analytic TOPICS: What is an Organization? KEYWORDS: Bloom’s: Understand