CME Organizational Development & Change 3 — Questions and Answers
Question 1: Which organizational structure groups employees by skills and functions rather than by product or geography?
- Divisional structure
- Matrix structure
- Functional structure (Correct answer)
- Network structure
Correct answer: Functional structure
A functional structure organizes employees into departments based on specialized skills or functions such as finance, marketing, and operations.
Question 2: During a large-scale culture change initiative, which action best reinforces the desired new behaviors?
- Updating the mission statement
- Aligning performance management and rewards with new values (Correct answer)
- Hosting a one-time all-hands meeting
- Hiring an external consultant
Correct answer: Aligning performance management and rewards with new values
Culture change is most effectively reinforced when performance management systems and rewards are aligned with the desired behaviors, embedding them into daily operations.
Question 3: The concept of 'psychological safety' in a team context was primarily developed by which researcher?
- Amy Edmondson (Correct answer)
- Edgar Schein
- Richard Hackman
- Patrick Lencioni
Correct answer: Amy Edmondson
Amy Edmondson coined and extensively researched psychological safety, defining it as a shared belief that the team is safe for interpersonal risk-taking.
Question 4: A company simultaneously pursues efficiency in its current business while innovating for future opportunities. This is called:
- Organizational resilience
- Organizational ambidexterity (Correct answer)
- Strategic flexibility
- Core competency leverage
Correct answer: Organizational ambidexterity
Organizational ambidexterity is the ability to exploit existing capabilities for current performance while exploring new capabilities for future growth.
Question 5: Which OD intervention has a consultant observe team interactions and provide real-time feedback to improve group processes?
- Team building
- Survey feedback
- Process consultation (Correct answer)
- Third-party intervention
Correct answer: Process consultation
Process consultation involves a consultant helping a group to understand and improve its own interpersonal and group dynamics through observation and feedback.
Question 6: In change management, a 'burning platform' metaphor is used to create:
- Complacency about change
- A compelling sense of urgency (Correct answer)
- Resistance to change
- A long-term vision
Correct answer: A compelling sense of urgency
The burning platform metaphor describes a crisis or urgent threat that compels people to act immediately, overcoming inertia and resistance to change.
Question 7: Which term describes the informal, unwritten expectations that employees have about what their organization owes them in return for their efforts?
- Employment contract
- Psychological contract (Correct answer)
- Social contract
- Implicit agreement
Correct answer: Psychological contract
The psychological contract refers to the unspoken mutual obligations and expectations between employer and employee that go beyond the formal employment contract.
CME Organizational Development & Change 3
Which organizational structure groups employees by skills and functions rather than by product or geography?