Chapter 10 and 11-Homework
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Dr. Eshra
BUS451
Must submit typed homework through Blackboard
by due date
Delete the blank lines and type your answers in their place
No e-mail submissions/hard copies will be accepted
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Ch. 10 & 11—Homework
Part I: Answer the following questions:
Q1:
What is the difference between a tall and a flat organization? What are the advantages
and disadvantages of each?
Tall organization
The management structure is vertical, with authority resting squarely in the hands of the CEO or
owner, who determines the company's mission, culture, and strategy.
Advantages
It fosters a culture of responsibility inside the organization.
Staff collaboration and speed of communication are improved, and extra layers of management
are eliminated
Eliminating the pay of middle management minimizes the budget expenditures of a firm.
Disadvantages
Employees may be less empowered to make choices in a highly hierarchical firm since
management is more likely to be rigid.
Staffing a company with a tall organizational structure is more expensive since supervisors are
needed for each department.
Only the lowest-level staff will interact with consumers
Flat organization
This organization have few or no layers of management between the top executives and the
workers on the front lines.
Advantages
Improved inter-departmental communication and working relationships.
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Dr. Eshra
BUS451
Must submit typed homework through Blackboard
by due date
Delete the blank lines and type your answers in their place
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Increased unity due to a flatter organizational structure.
Due to the shorter chain of command, decisions may be made more quickly and with less
complexity.
Improved capacity for the company to evolve and grow.
Disadvantages
Lack of a clear chain of command typically leads to disorganization and potential power disputes
among upper management.
Flat organizations breed many generalists but very few experts. Employees may not know their
exact responsibilities.
Larger companies have a harder time adjusting to the flat form.
Q2:
What is corporate restructuring? When should it be pursued?
Corporate restructuring is any corporate activity performed to alter the capital structure or
operations of the corporation dramatically. When an organization is having problems and might
go bankrupt, it may undergo corporate restructuring. Restructuring a company's operations may
be undertaken for various reasons, including declining earnings; market or economic pressures
and trends; management or strategy changes; or a need to boost cash flow.
Q3:
Explain transformational and transactional leadership styles and give examples of
each. Identify the conditions under which each is likely to be effective.
Transformational leadership emphasizes encouraging others to follow and requires a high
organization, communication, and collaboration. The leadership style is effective in corporations
whose main objective is skills development instead of attaining an immediate output quota or
sales target. Transformational leadership may also be favored in environments where a new
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Dr. Eshra
BUS451
Must submit typed homework through Blackboard
by due date
Delete the blank lines and type your answers in their place
No e-mail submissions/hard copies will be accepted
product or service is introduced or in industries where innovation is essential for survival. An
example of transformational leader is Oprah Winfrey.
Transactional leadership depend on procedures and control which demands a stiff management
structure. This approach is most effective when rules must be followed, and when hierarchy is
essential. Examples of institutions that apply this leadership style is the military and large
companies. Transactional settings may also be seen in education, as procedural systems are used
to grade pupils and encourage them to do better.
Q4: To what extent can leaders institute change in their organizations? Practically
speaking, how is this accomplished?
Leaders support and execute change within their own areas of influence for it to be successful in
an organization. Executives promote transformation at their respective organizational echelons.
Second, those who are tasked with effecting change are proactive. They act and think in ways
that are expected of everyone. Third, because they have access to all the project funds, leaders
are usually in a position to make decisions that will have an impact. Also, because of their
frequent interactions to spread information, keep people informed, and provide support, leaders
are the "face and voice" of change. At the end of the day, leaders are the ones that spark
movement toward a better future and enlist their followers in the effort. They make the transition
seem important and urgent, and they are clearly invested in seeing it through.
Part II: Read case study “Ford” at the end of chapter 10 on page 257 and answer the
questions that follow
1._____________________________________________________________________________
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Dr. Eshra
BUS451
Must submit typed homework through Blackboard
by due date
Delete the blank lines and type your answers in their place
No e-mail submissions/hard copies will be accepted
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
2._____________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
_______________________________________________________________________________
3._____________________________________________________________________________
_______________________________________________________________________________
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