Adaptive Organizations Stimulate the Utilization of Narrow Spans of Control

question 163

True/False

Adaptive organizations stimulate the utilization of narrow spans of control and tall structures.

---

Definitions:

Restructuring

The process of reorganizing a company's structure, finances, or operations to improve efficiency or to adapt to new market conditions.

Net Present Value

A method used in capital budgeting to assess the profitability of an investment, calculated by subtracting the present value of cash outflows from the present value of cash inflows.

Total Value

The combined market value of all the assets owned by an entity.

Optimal Capital Structure

The best mix of debt and equity financing that minimizes a company's cost of capital and maximizes its stock price.