Mba 540 Final Exam Essay

1639 Words Jan 6th, 2014 7 Pages
MBA 540 Final Exam

1. (10 pts.) Discuss how organizational architecture and corporate culture are related. Use an example of a real-life firm and discuss how its corporate culture blends with its organizational architecture.

Organizational architecture and corporate culture should be intertwined within any successful company or organization. In the text, Brickley (2009), refers to organizational architecture as being three legs of a company: assignments of decision rights, 2) methods of rewarding individuals, and 3) the structure of systems to evaluate the performance of both individuals and business units. Organizational architecture is the framework of company departments such as managerial chain of command, the duty description and
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What is going on?

Billy has some free-riders as co-workers. The scenario suggests that Billy is putting forth the effort in making decisions regarding the innovations in the company and putting in extra time while his colleagues are playing tennis. Billy, being in charge of technical development, feels as though his colleague’s lack of effort will delay any projects being worked on. A free-rider enjoys the benefits and efforts of others while not sharing in the costs of the effort. In Billy’s case, his fellow scientists will enjoy any credit or compensation received, from projects that come as a result of Billy’ hard work and long hours. From this example, it can be determined how damaging free-riding can be if not addressed or without having a good organization architecture and culture in place.
3. (10 pts.) Always Round Tire tries to base its promotions on seniority (where education and training requirements are not necessary). The company finds that this system seems to work most of the time with shop floor supervisors and team managers. But the system breaks down for higher-level positions. Why?
The principle of seniority, used by Always Round, is easy to apply at the lower levels because of its being the most objective. This type of promotion system does not present a view of favoritism or nepotism, considering only age and experience. In a blue collar society, it is very much in-line with the established

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