One of the Defining Characteristics of a Matrix Organizational Structure

question 50

Multiple Choice

One of the defining characteristics of a matrix organizational structure is that it

• A)uses self-directed work teams rather than individuals as the basic building block of organizations.
• B)is an alliance of several organizations for the purpose of creating a product or serving a client.
• C)has a narrow span of control and high degree of formalization and centralization.
• D)is the only structure that organizes employees around specific knowledge or other resources.
• E)overlays two organizational structures in order to leverage the benefits of both types of structures.

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Definitions:

Accounts Payable

Short-term liabilities of a business that are due to be paid to creditors within a specified period.

Cost of Goods Sold

The direct costs attributable to the production of the goods sold by a company, including material and labor.

Operating Expenses

Costs associated with the normal operations of a business, excluding cost of goods sold and direct labor.

Prepaid Expenses

Expenses paid in advance for goods or services to be received in the future, recognized as assets until used.