Which of the Following Approaches Should an Organization Adopt for Managing

question 13

Multiple Choice

Which of the following approaches should an organization adopt for managing uncertainty in a simple and stable environment?

• A) centralized and organic approach, with direct supervision
• B) decentralized and bureaucratic approach, with standardized skills
• C) decentralized and organic approach, with mutual adjustment
• D) centralized and bureaucratic approach, with standardized work processes
• E) centralized and organic approach, with mutual adjustment

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Definitions:

Vertical Analysis

A method of financial statement analysis in which each entry for each of the three major categories of accounts (assets, liabilities, and equity) in a balance sheet is represented as a proportion of the total account.

Income Statements

A financial report summarizing a company's revenues, expenses, and profits over a specified period.

Trends

General directions in which something is developing or changing, often identified through the analysis of data over periods of time.

Vertical Analysis

A method in financial statement analysis where each entry for each of the three major categories of accounts (assets, liabilities, and equities) in a balance sheet is represented as a proportion of the total account.