ÖRGÜT KURAMI VE TASARIMI - Deneme Sınavı - 7

It is needed to correct three of the above mentioned statements. Firstly, a typical organization often considers three levels of strategy: corporate level, business level and functional level. Secondly, corporate-level strategy is often made at the highest levels of the organization such as the board of directors, the CEO and executive management with inputs from other managers. And lastly, a retrenchment strategy is to reduce a firm’s level of activities. In this chapter, we discuss growth strategies at the corporate level. Correct answer is A.

Functional-Level Strategy Concerns with developing distinctive competencies by functional areas or departments as well as their ability to coordinate among various departments to provide competitive advantage. A cost leadership strategy is adopted when a firm tries to gain market share by keeping costs low compared to its competitors. Business-Level Strategy Concerns with the competitive aspect of a firm’s products or services in its industry or market segment. A differentiation strategy is adopted when a firm seeks to be unique and distinguish its products or services from others in the industry. Correct answer is E.

Coordination refers to the process of setting up the activities of people or their units to achieve a state of integration.

There are diverse coordination mechanisms for organizations
1. Face-to-face interpersonal interaction
2. Rules and procedures for coordinating routine, recurring activities
3. Standardized plans, skills, and values
4. Direct supervision
5. Staff assistants as specialized administrative personnel created to facilitate interaction
between personnel of the same unit
6. Liaisons as specialized positions or units designed to facilitate interchange between
interdependent units
7. Teams having members from different units
8. Coordination-supporting software packages
9. Independent integrators, who are independent of the departments they coordinate and report to the manager who
oversees those departments.

The internal process approach focuses on the transformation process and to what extent organizational skills and resources are used to convert into finished products or services. Correct answer is C.

Strategy map is a visual representation of an organization strategy that describes its key business objectives which can be easily used to communicate to the whole organization. Correct answer is D.

Porter described four attributes that can lead to national competitive advantage. These are; factor conditions, demand conditions,Related and supported industries and Firm strategy, structure and rivalry. Correct answer is B.

A firm engages in unrelated diversification when it enters into a new business that has no relationship with its core business. Correct answer is E.

Reward refers to allocating incentives for managers and employees to improve performance and meet unit goals.

Among the choices, only the second one "profit sharing" is one of the basic types of incentive systems.

There are six particularly important strategies of control in organizations. 
1. Personal centralized control
2. Bureaucratic control
3. Output control
4. Control through electronic surveillance,
5. HRM control 
6. Cultural control

The Multidivisional form groups functions according to the specific demands of products, markets, or customers.

The U-form has some advantages. First, it allows work to be done by highly qualified specialists. Second, it lowers costs by reducing duplication. On the other hand, slow decision making, and narrowing the experience and expertise of the employees are some disadvantages of the U-form.

There are many advantages of the M-form. The M-form enables growing quickly; it provides better training for future executives; it offers enhanced responsiveness to the needs of customers; and it allows for accountability based on divisional profits. However, duplication and the challenge of coordinating across the different departments are the main disadvantages.

The network form combines legally separate companies along with a value
chain into a loosely integrated whole. There are certain types of a network form: The
dynamic network, The stable network, The internal network and the virtual form as a highly developed version of the network form.

I and II need to be corrected as follows:

-When a firm faces a complex and fast changing organizational environment, its functional departments need to become highly specialized and highly skilled to handle complexity and uncertainty in its environment. 

-The degree of differentiation among departments increases as each department has unique orientations, attitudes, values, goals, and education that distinguish them from one another. 

Correct answer is D.

Long-linked technologies involve linear transformation processes in which inputs enter at one end of a long series of sequential steps from which products emerge at the other end

A strategy determines an organization’s basic long-term goals and objectives;
including courses of action and allocation of resources in order to reach those goals.

Human resources refer to experienced and knowledgeable management teams, skilled labor, and motivated workers.