MBA 5110 – Business Organization and Management Midterm Exam Answer each of the following questions in this document, inserting your answers between each question. You may use your textbook and notes, but you may not consult with another individual. You may not use the Internet for assistance in answering these questions. Each question should be answered with a minimum of one paragraph, properly formatted according to APA 6th edition guidelines and referencing your textbook. Please list your textbook in a reference section at the end of this document. Submit this Word document with your answers to Moodle. 1. How have organizational structures and management styles changed over the past century? 2. Explain the concept of open and closed systems and how this relates to organization theory. 3. Define each of Porter’s Competitive Strategies and give an example of a company using each of these strategies. 4. Compare vertical and horizontal organizational structures in terms of effectiveness and adaptability in the rapidly changing business environment. 5. Choose one of the following theories and explain the theory. Give an example of a company that demonstrates the chosen theory and how the company uses the theory. Theories: Chaos Theory, Resource-Dependence Theory, Population-Ecology Perspective, Contingency Theory, or Organizational Learning Theory Response 1 PD Question 1 A set of beliefs, norms and values that is shared by a group, culture is a systemic sense that can create a common commitment to an organization’s mission. With identifying markers that extend beyond the individual, it can be represented in a fabric of shared themes and feelings. Whether displayed in forms of dress, symbols, verbal phrases or typical behaviors, its permeance can be silent in its mode of action, yet quite visible to internal and external stakeholders (Daft, 2018). Serving two fundamental and critical functions, the culture of an organization can be a catalyst in uniting members in how they relate to one another within the organization and how the members follow the same process in relation to the outside environment (Daft, 2018). However, although it is often associated with ethical decision making (Kara, Rojas-Mendez & Turan), the element of inequality can create fear and discourse if an unrealistic and bias culture themes are dictated, thus resulting in disagreement or conflict with management. Therefore, the perception of stakeholders or groups of interest regarding the cultural practices of the organization may not be entirely correct (Gonzalez-Rodriguez, Diaz-Fernández & Biagio, 2019). Directly related to the perception of the value system of the organization and its management, the acceptable cultural differences that shape the internal behavior of members can have an impact in external relationships (Gonzalez-Rodriguez, Diaz-Fernández & Biagio, 2019). However, as Daft (2018) noted, a mechanistic or controlling system may block any organic input,.

1. MBA 5110 – Business Organization and Management
Midterm Exam
Answer each of the following questions in this document,
inserting your answers between each question. You may use
your textbook and notes, but you may not consult with another
individual. You may not use the Internet for assistance in
answering these questions. Each question should be answered
with a minimum of one paragraph, properly formatted according
to APA 6th edition guidelines and referencing your textbook.
Please list your textbook in a reference section at the end of this
document. Submit this Word document with your answers to
Moodle.
1. How have organizational structures and management styles
changed over the past century?
2. Explain the concept of open and closed systems and how this
relates to organization theory.
3. Define each of Porter’s Competitive Strategies and give an
example of a company using each of these strategies.
4. Compare vertical and horizontal organizational structures in
terms of effectiveness and adaptability in the rapidly changing
business environment.
5. Choose one of the following theories and explain the theory.
Give an example of a company that demonstrates the chosen
theory and how the company uses the theory.
Theories: Chaos Theory, Resource-Dependence Theory,
Population-Ecology Perspective, Contingency Theory, or
Organizational Learning Theory
Response 1 PD

2. Question 1
A set of beliefs, norms and values that is shared by a group,
culture is a systemic sense that can create a common
commitment to an organization’s mission. With identifying
markers that extend beyond the individual, it can be represented
in a fabric of shared themes and feelings. Whether displayed in
forms of dress, symbols, verbal phrases or typical behaviors, its
permeance can be silent in its mode of action, yet quite visible
to internal and external stakeholders (Daft, 2018).
Serving two fundamental and critical functions, the culture of
an organization can be a catalyst in uniting members in how
they relate to one another within the organization and how the
members follow the same process in relation to the outside
environment (Daft, 2018). However, although it is often
associated with ethical decision making (Kara, Rojas-Mendez &
Turan), the element of inequality can create fear and discourse
if an unrealistic and bias culture themes are dictated, thus
resulting in disagreement or conflict with management.
Therefore, the perception of stakeholders or groups of interest
regarding the cultural practices of the organization may not be
entirely correct (Gonzalez-Rodriguez, Diaz-Fernández &
Biagio, 2019).
Directly related to the perception of the value system of
the organization and its management, the acceptable cultural
differences that shape the internal behavior of members can
have an impact in external relationships (Gonzalez-Rodriguez,
Diaz-Fernández & Biagio, 2019). However, as Daft (2018)
noted, a mechanistic or controlling system may block any
organic input, thus tainting an authentic thought process or
sense of autonomy amongst members.
Therefore, given the equal potential for obscuring a true value
and culture system, I believe it is fair to expect an accurate
discernment of an organization’s cultural value system would be
approximately 50%. This estimation of accuracy is based on the
possibility of employee fear of retribution and negative
consequences for noncompliance and subordination, the result

3. of corporate pressure to maintain allegiance to an unfit cultural
model employment free (Kara, Rojas-Mendez & Turan).
Chapter 11
Question 1
Innovation and change are often interdependent and may require
a shift in one or more areas to achieve an objective.
Technology, culture, strategy and structure, and products and
services are the four areas where this dynamic can be clearly
visualized (Daft, 2018). Adaptation in design, systems and
mindset can strengthen the sense of freedom employees have,
thus promoting a broader capability for innovation and
initiation in sustainable ideas and organizational practices
(Daft, 2018). Therefore, it is an acceptable hypothesis to
assume the pressure to change can be uniquely perpetuated from
mounting environmental demands and suggestions.
Structural dependence, as Ahmed (2018) noted, may be a factor
when examining the ability to create a stable organizational
setting. The internal linking and codependent nature that exists
in an organization can lead to a committed desire for stability.
This phenomenon is particularly salient when exploring the
impact of CEO succession and reorganization cultural changes
in an organization. As Karaevli and Zajac (2013) noted,
corporate stability is often related to the tenure and performance
of management, thus reaffirming the contextual link between
stability and the internal strategic decisions of an organization.
Chapter 12
Question 1
Intuitive decision making, when done in concert with an adapt
analytical approach can lead to an outcome that may present a
better strategic alternative. Employing the elements of science,
philosophy and economics, a coalition of thought processes and
problem-solving initiatives can be utilized, gaining a significant
advantage over speculative decisions derived solely based on
emotion and intuition (Daft, 2018).
In healthcare, the integrative approach of evidence-based
best practice (EBP) has been the applied method of choice in

4. the clinical decision-making process for the last two decades.
An expectation within the profession, improvement of patient
outcomes has been the driving force in the application and
integration of best practice research evidence in all clinical
settings (Al Zoubi, Mayo, Rochette & Thomas, 2018).
This universally accepted approach has been proven to improve
the efficiency of service delivery while decreasing cost, benefits
that are captured in data across the healthcare spectrum.
As Cho, Song, Comuzzi and Yoo (2017) confirmed, in a time of
rapidly changing and shifting demands, business processes can
gain insight and expertise by including the data collected in the
calculation indicator process.
Changing the process model to include EBP with intuition can
improve workflow, decreasing the risk of redundancy and
repetition (Cho, Song, Comuzzi & Yoo, 2017). Therefore, by
redesigning the framework and including EBP, execution and
outcome can be driven to higher sustainable standards, thus
improving organizational growth and profit (Cho, Song,
Comuzzi & Yoo, 2017).
Chapter 13
Question 1
Dependent upon compatibility, organizational relationships
shape the model of behavior that is perpetuated throughout the
environment. Within a corporation, the potential for conflict
and discourse can be manifested in many layers. Whether
between two individuals or two larger components, such as
manufacturing and marketing, goal incompatibility is often the
greatest source of division (Daft, 2018). Therefore, the
determination of the appropriate approach for resolution is
dependent on the level of conflict.
In a shifting power dynamic, the need to organize in order to
gain control and disseminate oppositional forces can be greater
achieved by implementing the political mode of organizational
process (Daft, 2018). Although the rational approach may
appear less restrictive, in an attempt to de-escalate conflict and
return the environment to a functioning level management may

5. have no alternative than to utilize the political method (Daft,
2018). However, as Daft (2018) indicated, after resolution,
techniques for enhancing collaboration can be effective in the
team building experience, thus decreasing the risk of further
threats and damaging conflicts.
Biblical Worldview Application
Integrity and inclusivity are virtues that are necessary for the
improvement and sustainability of relationships, corporate and
personal. Psalm 25:21 reinforces this message by reminding
humanity that integrity and uprightness can preserve the body
and soul in anticipation for eternal peace. Resisting the
temptation that may occur when faced with difficult decision-
making, opportunistic or not, the message of Matthew 7:12 can
also lead to a path of strength and wisdom, recognizing the need
to follow the law of Christ by implementing practices that are
goal oriented and focused on the improvement of service to all
mankind. For when it is done to others as one wishes for
themselves, then the possibility of improved outcomes for all
can become a reality, as Christ commanded.
Reference
Ahmed, S., & Uddin, S. (2018). Toward a political economy of
corporate governance change and stability in family business
groups. Accounting, Auditing & Accountability Journal, 31(8),
2192-2217. Retrieved from
doi:10.1108/AAAJ-01-2017-2833
Al Zoubi, F., Mayo, N., Rochette, A., & Thomas, A. (2018).
Applying modern measurement approaches to constructs
relevant to evidence-based practice among canadian physical
and occupational therapists. Implementation Science, 13(1), 1-
21. Retrieved from doi:10.1186/s13012-018-0844-4
Cho, M., Song, M., Comuzzi, M., & Yoo, S. (2017). Evaluating
the effect of best practices for business process redesign: An
evidence-based approach based on process mining
techniques. Decision Support Systems, 104, 92-103. Retrieved
from doi:10.1016/j.dss.2017.10.004

6. Daft, R. L. (2016). Organizational theory & design (12th ed.).
Boston: Cengage Learning.
González-Rodríguez, M. R., Díaz-Fernández, M. C., & Biagio,
S. (2019). The perception of socially and environmentally
responsible practices based on values and cultural environment
from a customer perspective. Journal of Cleaner
Production, 216, 88-98. Retrieved from
doi: 10.1016/j.jclepro.2019.01.189
Kara, A., Rojas-Méndez, J. I., & Turan, M. (2016). Ethical
evaluations of business students in an emerging market: Effects
of ethical sensitivity, cultural values, personality, and
religiosity. Journal of Academic Ethics, 14(4), 297-325.
Retrieved from
doi: http://dx.doi.org.ezproxy.liberty.edu/10.1007/s10805-016-
9263-9
Karaevli, A., & Zajac, E. J. (2013). When do outsider CEOs
generate strategic change? the enabling role of corporate
stability. Journal of Management Studies, 50(7), 1267-1294.
Retrieved from
doi:10.1111/joms.12046
Running Head: GROUP DB 4 PART 1 1
GROUP DB 4 PART 1 5
Response2 CO
Chapter 10
Question 1
Organizational culture contains multiple qualities that are
present within an organization. These can be positive or
negative having a direct effect on the organization. When
evaluating how culture affects employees, this can ultimately
have an effect on customer satisfaction and stakeholders.
Organizational culture shares a common definition which
implies there are “shared basic assumptions” (Nikpour, 2017, p.

7. 66). Culture can be further understood that basically members
of an organization “share values, norms, guiding beliefs, and
understandings” and further ensuring new members understand
this culture (Daft, 2016, p. 386). Additionally, culture is not
something that is written but more of “feeling part of the
organization” (Daft, 2016, p. 386).
With this understanding, feelings are not something that
can be observed by an outsider. It is understood that “culture
has two levels” (Daft, 2016, p. 387). The level that is visible
has some aspects that can be observed which are approximately
30% as some “values may be deeper” and may not be easily
observed (Daft, 2016, p. 387). The values that are observable
include employee preferences like clothes and how employees
behave which can include certain “symbols, stories, and
ceremonies” (Daft, 2016, p. 66). The culture within an
organization are based on experiences and how employees react
to those experiences together which may contain “history,
product, market, technology and strategy, types of employees,
management style, and external culture” (Nikpour, 2017, p. 66).
Other factors that may be observed include the design of
workspace and internal processes set by management (Daft,
2016). Basically, in this situation it is unclear as to why an
outside observer would need to understand the organizational
culture. Those who have worked in the organization for
multiple years would have a complete understanding of the
culture as this is built through shared experiences.
Chapter 11
Question 1
Top management within an organization should understand
that the external environment is the precursor for change within
an organization (Daft, 2016). For example, organizations who
rely on technology must continuously evaluate what is new and
what is obsolete. Comcast is a leader in technology as this is the
basis for their existence. If leaders within this organization do
not stay ahead with introducing new technology, this may hurt
their standing as the top in the industry. Management should be

8. prepared by continuously evaluating external factors and
planning strategy to embrace this change (Daft, 2016). One
type of change that is a result of the external environment is
“continuous change” which is directly related to a “rapidly
shifting environment” (Daft, 2016, p. 422). If management
ignores change within the external environment, this can be
detrimental to the organization.
The external environment may demand change but
management must also pay close attention to the internal
environment specifically culture. Some characteristics that may
need to change includes features such as “decision-making
processes, communication, interpersonal relationships,
leadership, and management style” (Rizescu & Tileag, 2016).
Once the culture is established within an organization, it is a
challenge for management to implement change (Daft, 2016).
One key concept that may enable change is “organizational
development” which can be used to not only change employee
perception but management as well enabling them to “adapt to
the changing environment” (Rizescu & Tileag, 2016, p. 140).
Chapter 12
Question 1
Research actually shows that managers should use both
“rational analysis and intuition in making complex decisions”
(Daft, 2016, p. 477). This seems opposite of the evidence-based
management model which establishes decisions should be made
using “facts and evidence” (Daft, 2016, p. 500). This indicates
not using intuition but basing the information on facts that
includes specific evidence (Daft, 2016).
The basic understanding of organizational decision-making
is “identifying and solving problems” (Daft, 2016, p. 468). A
rational approach to decision-making includes eight steps
enabling a thought process that enables a manager to make an
informed decision (Daft, 2016). These steps seem to fit the
evidence-based management as this will encourage conducting
research with each step that should lead to focusing on the
facts. These steps include “monitoring the decision

9. environment, defining the decision problem, specifying decision
objectives, diagnosing the problem, developing alternative
solutions, evaluating alternatives, choosing the best alternative,
and implementing the chosen alternative” (Daft, 2016, pp. 471-
472). The steps include a well thought out process which is
very similar to the evidence-based model requiring “being
careful and thoughtful, examining the evidence with rigor”
(Daft, 2016, p. 500). Further, with the evidence-based model, it
is suggested that management evaluate past decisions to
determine which worked the best for each situation encouraging
learning by experience. (Daft, 2016).
Chapter 13
Question 1
Management will typically use the rational model if certain
facets are present including established goals, small discrepancy
in procedures, and determining if funding is available (Daft,
2016). The political model works best when there are multiple
differences specifically between groups who have “separate
interests, goals, and values” (Daft, 2016, p. 518). As some
issues may be complicated and include “disagreements and
conflict”, managers will find that using “power and influence”
are needed ensuring the best decision is embraced (Daft, 2016,
p. 518).
In most organizations, managers will use both models to
make decisions but the political model is used the most and for
decisions that involve “accomplishing objectives” (Daft, 2016,
p. 519). If management chooses the rational model when there
are clear differences in objectives, this may lead to conflict that
can escalate preventing results (Daft, 2016).
Biblical Worldview
There are multiple incidents of conflict within the Bible. In
Acts, a conflict arose where the Jews were insisting that Gentile
believers must be circumcised before they could be saved (Acts
15:1, ESV). To resolve the conflict Paul and Barnabas were
sent to handle the issue. Basically, Paul explained that we are
“saved through grace of the Lord Jesus” (Acts 15:11, ESV).

10. After the group searched Scripture discussing the issue while
being led by the Holy Spirit, it was determined that the Gentiles
did not need to be circumcised (Acts 15:19, ESV). This is an
example of leaders interpreting Scripture and following in
obedience. The conflict was resolved with expediency through
a mutual love for Christ. Christians should act the same in
every situation whether at home, church or work.
References
Daft, R. L. (2016). Organization Theory and Design. Boston,
MA: Cengage Learning.
Nikpour, A. (2017). The impact of organizational culture on
organizational performance: the mediating role of employee’s
organizational commitment. International Journal of
Organizational Leadership, 6, 65-72.
DOI:10.19236/IJOL.2017.01.05
Rizescu, A., & Tileag, C. (2016). Factors influencing
continuous organisational change. Journal of Defense Resources
Management, 7(2), 139-144. Retrieved from:
http://ezproxy.liberty.edu/login?url=https://search-proquest-
com.ezproxy.liberty.edu/docview/1851703545?accountid=12085