Free IIA-CIA-PART4 Exam Braindumps (page: 58)

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When determining the appropriate span of control, the most important consideration is:

  1. The set of policies and procedures currently in effect.
  2. The typical span of control used by other entities.
  3. The preference of the company's creditors.
  4. That all departments will be evaluated, whether or not they will be affected.

Answer(s): A

Explanation:

The most important factors to consider are the employees' and manager's preferences and skills, the firm's culture, the tasks involved, physical location of the department, and established policies and procedures.



The difference between a tall organization structure and a flat organization structure is that, in the former.

  1. The communication process takes longer and is of poorer quality.
  2. Maintenance of the organization is less costly.
  3. The morale of lower-level employees is generally higher.
  4. A higher degree of coordination and cooperation is created.

Answer(s): A

Explanation:

"Flat" organizational structures have relatively few levels from top to bottom. "Tall" organizational structures have many levels between top and bottom. Flat structures have the advantages of fast information flow from top to bottom of the organization and increased employee satisfaction. Tall structures are faster and more effective at problem resolution because of the increased frequency of interaction between superior and subordinate and the greater order imposed by the hierarchy. Studies do not indicate great advantages for either flat or tall structures.



The most likely span of control to apply over 14 data-entry clerks who do essentially the same job and work in the same office would be:

  1. Close.
  2. Narrow.
  3. Moderate.
  4. Wide.

Answer(s): D

Explanation:

In any situation, there are underlying variables that influence the number of subordinates a manager can supervise. In general, if jobs are similar, procedures are standardized, and physical dispersion is minimized, a wide span of control is most effective.



In which of the following situations would a narrower span of control be more appropriate?

  1. Managers do not spend a great deal of time on planning or strategic management.
  2. Managers must spend a great deal of time coordinating with other managers.
  3. Subordinates work in the same area rather than being geographically dispersed.
  4. Work performed by subordinates is substantially identical.

Answer(s): B

Explanation:

If substantial coordination is required, a manager benefits from reduced supervision requirements. In addition, increased coordination implies that the work done by subordinates is not standardized. As spans of control move from wider to narrower, the work done becomes less similar and more complex.






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