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Companies often re-organize in order to adapt to changes in [#permalink]
09 Oct 2010, 11:35
This post received KUDOS
38% (02:09) correct
61% (01:21) wrong based on 171 sessions
Companies often re-organize in order to adapt to changes in the world around them but the market place changes much faster than organizations can re-organize. If you choose a simple organization you can then spend your effort on teaching the people in the organization to be flexible and adapt to changes in the market place.
Which of the following conclusions can be most properly inferred from the premises above.
1. Companies should invest in staff training to increase their adaptability. 2. Companies should invest in research to keep abreast of changes in the market place. 3. Companies should choose a simple organizational structure and keep it that way. 4. Companies should continuously re-organize to keep up with changes in the market place. 5. Companies should choose a matrix structure which can be re-organized more rapidly than other organizational structures.
Answer A Investing in staff is implied by the second premise and so is very tempting to select but remember a conclusion has to tie all the premises together and this answer does does not relate to the first premise at all. This means it should be eliminated.
Answer B Investing in research may be advantageous for the company but it does not follow from either of the premises and can be eliminated.
Answer C Stick to on organizational structure. This fits with both premises the first says that companies cannot reorganize fast enough and the second which says effort that would have been spent re-organizing can be reinvested in more effective strategies. This looks like a good candidate.
Answer D This contradicts the first premise and so should be eliminated as a possible conclusion.
Answer E Again we have to assume that the premises are true and since the first premise says that companies cannot re-organize at a fast enough rate, this answer should be eliminated.
Re: Organizational Structure [#permalink]
09 Oct 2010, 12:50
Option C for me.
Reason: 1. Companies should invest in staff training to increase their adaptability. Possible candidate. 2. Companies should invest in research to keep abreast of changes in the market place. Out of scope. 3. Companies should choose a simple organizational structure and keep it that way. Possible candidate. 4. Companies should continuously re-organize to keep up with changes in the market place. Not a good option. This option is proposing a new conclusion. 5. Companies should choose a matrix structure which can be re-organized more rapidly than other organizational structures. Not a good option. Again this option is proposing a new conclusion.
Between A and C, option A will only work out if the organizational structure is simple. Option C can be inferred from the above stimulus and hence it wins.
P.S -- Do not post the OA and the OE upfront. Post your questions and then let few discussions and points be brought to the table and then the OA and/or OE can be shared. Just my thoughts.
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Re: Organizational Structure [#permalink]
26 Jan 2011, 23:09
I agree with C.
But I have got few remarks: first of all, in the first premise it is left undefined what does mean the word "Companies" and should assume that that this word should be comprehended as companies with complex structure. On the other hand, what should one assume under the words "simple organization", again it is undefined whether it is a small company or it can include any kind of company.
This is why the ans choice C can be called into question.
Re: Companies often re-organize in order to adapt to changes in [#permalink]
26 Dec 2011, 01:23
C it is.
'A' is indeed a tough contender, but as others have already pointed out, A does not address the first premise and hence, C is a winner. C addresses both the premises and stays within the scope of the argument.