Principles of Management Course Number: ECO 10150 (Section) Fall Semester 2017 M
ID: 1111858 • Letter: P
Question
Principles of Management Course Number: ECO 10150 (Section) Fall Semester 2017 Make-Up Mid-term Evam 2 Royal Dutch/Shell Royal Dutch Shell operates in 130 countries around the world and controls every aspect o from the ground to the gas pump. This large international compamy is also an with introverted control freaks, a hage and convoluted organizationa image. Many of its wrestle for power with the 100 or so influential country CEOs who run local Cornelius Herkstrote efficiently, is more innovative, and is capable of moving Shell into profitable new businesses. The organization Herkstroter inherited has been described as bureaucratic, inward looking, complacent, self satisfied, and arrogant , saddled I structure, and a controversial public Shell Chairman r wants to create a fast, flexible, environmentally aware organization that runs more managers rarely talk to the rank and file. The top brass at headquarters constantly operations. 1. Refer to Royal Dutch/ Shell. One of the major causes of Shell's problems was the 100 or so influential country CEOs who run local operations autonomously. This information would suggest that Shell used C departmentalization. a functional b integrated geographic d product e operations 2. Refer to Royal Dutch/Shell. Shell Chairman Cornelius Herkstroter has authority b staff c equity line e departmentalized 3. Refer to Royal Dutch/Shell. In 1959, Shell initiated a matrix organizational structure. This means the company a adopted a market growth strategy eliminated any span of management problems created a new corporate culture without the aid of a change agent b cExplanation / Answer
1) c is correct
Geographical departmentalisation is a phenomenon where organisational functions are dispersed geographically.
2) d is correct
Line authority is a superior subordinate relationship where right to make decision is held by superiors only.
3) e is correct
Matrix organisational is a structure had dual reporting structure where employees report to two manager authority. This is two different departmentalisation.
4) a is correct
In decentralised organisation power is divided among different centres of the organisation. CEOs have autonomy in their respective branches. This implies that power is decentralised.
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