Reward refers to allocating incentives for managers and employees to improve performance and meet unit goals.

The five strategies to improve organizational effectiveness are  making use of human resources, focusing on education and growth, keeping the customers in mind, working on quality services or products and using technology. The correct answer is choice C.

Daft groups the dimensions of organization design into two basic categories. He sorts structural dimensions as formalization, specialization, the hierarchy of authority, centralization, professionalism and personnel ratios. So, (a), (b), (d), (e) are associated with the structural dimensions of organizations. He labels contextual dimensions as size, technology, environment, goals and strategy, and culture. Among these, size can be used to define not the whole but the part of an organization and it is generally measured by the number of employees. For example, the size of a factory belonging to a big business can be expressed by mentioning the number of employees. However, there are also other criteria such as total sales, total profit, total production amount and total assets to indicate size. In the given example, too, the number of the students are mentioned to describe the size of these organizations. So, choice (c) is the correct answer.

The U-form has some advantages. First, it allows work to be done by highly qualified specialists. Second, it lowers costs by reducing duplication. Third, with everyone in the same department having similar work experience or training,  communication and coordination are less problematic for departmental managers. Therefore, the correct option is C

First systematic approaches to study organizations were developed by pioneers of management thought such as Frederick Winslow Taylor, Henry Gantt, Frank and Lillian Gilbert, Henri Fayol and James Mooney. All of these scholars were mostly interested in efficient processing of internal systems. Peter F. Drucker was from postmodern era.

Environmental complexity is a measure of the number and the degree of dissimilarity of the factors surrounding an organization. It simply refers to the number of interactions of organizations with many sectors or elements within those sectors.

The M-form would hire potentially redundant specialists for each of its divisions, the matrix can more efficiently use its specialists to their full capacity. Only III is not about the matrix form. 

A strategy determines an organization’s basic long-term goals and objectives;
including courses of action and allocation of resources in order to reach those goals.

Organizational design refers to the complete specification of the strategy, structure, and processes of the organization.

The M-form groups functions according to the specific demands of products, markets, or customers. Therefore, the correct option is D.

Modern approaches have tried to combine the thoughts of the previous schools; and they have additionally mentioned the interaction between organizations and their environments. Three great developments have contributed to the improvement of modern management and organization theories: improvements in system theory, behavioral sciences, and quantitative methods. The correct answer is choice A.

According to Michael E. Porter, a firm must select a strategy to cope with competitive forces such as the threats of new and existing competitors in order to gain competitive advantage. Managers can choose from cost leadership, differentiation, and focus strategies. Choice (a) is the correct answer.

In fact, BOS aligns ‘’3’’ strategy propositions which are value, profit, and people to create a winning situation for all stakeholders. Thus, the correct answer is B.

The Competing Value Approach is represented by three underlining value dimensions; Organizational focus, Organizational structure, Organizational means and ends. Thus, the correct answer is C.

In a larger organization, many routine decisions are pushed low levels of the organization, but there are some strict rules and procedures govern how those decisions are made. Thus, employees often have discretion, but can only exercise it within strict limits. Like the pure mechanistic design, it remains highly controlled, but it does so by being decentralized in such a way that allows lower-level employees to make all the programmed decisions while freeing managers to form policy and make unprogrammed choices.

E is not true for organizations, because some organizations offer products and services at international level, while some of them serve only for the region we reside in. That is why the correct answer is E.

The internal process approach focuses on the transformation process and to what extent organizational skills and resources are used to convert into finished products or services. Correct answer is C. 

The units which have boundary spanning roles 1) determine and bring information about changes in the environment into the organization and 2) send critical information to the context representing the organization. These units act as mediators between the internal and external environments of organizations. Research and development departments and market research-departments are the distinctive examples of these units having boundary spanning roles

Some Basic Concepts That Today’s Modern Organizations Challenge

In the present day, organizations operate in an environment where globalization, intense competition, and technological developments take the stage. Organizations that cannot adapt to these changes are not likely to survive. The number of variables for a high-performance delivery, outcompeting and reaching the desired goals has recently increased. Organizations now challenge many more difficulties than they used to in the past. They have to operate in a more complex and intense environment. These concepts faced by businesses sometimes create opportunities for them, but sometimes make the management issues harder. These basic concepts explained below are the constant variables of businesses’ environment.

One of the common classifications based on organizations aims and functions is the one argued by Blau and Scott. As to their argument, we can separate organizations into four basic types on a very simple level.

Mutual Benefit Organization

Raison d’etre of mutual benefit organizations is to increase their members and thus the benefit they have. Political parties, clubs, and professional organizations are examples of mutual benefit organizations. Individuals tend to participate in these organizations just to make use of their own benefits to the organization. Members of these organizations begin shaping them since their establishment. However, when these organizations reach a certain size and become active in their environments, the potential of members to influence them decreases. This kind of organizations is inclined to conflicts. When the needs of members are not satisfied fully and completely, possible and potential conflicts and problems are among the most encountered problems with this type of organizations. That is why the failure rate of these organizations is quite high.

Business Concerns

Business organizations are established with the aim of economic benefit. The fundamental problem of these organizations is operating efficiency and achievement of maximum gain at minimum cost for further survival and growth in competition with other organization. This type of organization has also a high failure rate. Survival and sustainability are other important problems that business organizations handle. In today’s fast-changing business environment, these organizations suffer the pressure of solving problems and learning in flexible and quicker ways. They are also expected to have innovative processes in a time when the competition is really fierce and global. Facebook, HSBC Bank, IBM, General Motors, Turkish Airlines are examples of these organizations. Even though they all differ from each other in terms of their nature, their goal is to survive and make the profit for growth. The main beneficiaries of commercial organizations are their owners or shareholders.

Service Organizations

Many service organizations are formed not for profit but for offering services to customers in the relevant community. Educational institutions, hospitals, animal protection associations, environment protect associations and various non-profit organizations are examples of these service organizations. These organizations are generally funded by small fees, donations, grants, contributions by members, or government assistance. The main beneficiaries of non-profit organizations are customers and communities. Their main problem is the lack of professional management. A professional way of an organization may be costly for such foundations.

Commonwealth Organizations

These organizations, which are basically for social services, are formed to offer standard services for the majority of the population. The motivator of these organizations is not profit. Police offices, army forces, courts, fire services, and other public institutions are examples of these organizations. The beneficiaries of commonwealth organizations are ordinary people in general.

As also understood from the information given the correct answer is “D”. Political parties, clubs, professional organizations are not examples of business organizations, but mutual benefit organizations. On the other hand, Facebook, HSBC Bank, IBM, General Motors, Turkish Airlines are not example of mutual benefit organizations, but business organizations.