Download critical thinking exercises

CRITICAL THINKING EXERCISES
CRITICAL THINKING EXERCISE 8-1
Building an Organization Chart
Dr. Rea Searge is president of Peabody Researchers, Inc, a pharmaceutical company. Peabody uses
a line-and-staff structure to organize its employees. On a separate sheet of paper, draw an organization
chart for Peabody Researchers, Inc. In addition to Dr. Searge, Peabody has the following employees:
A quality control officer
A vice-president of production
150 research and development employees
A sales force of 100 people
A vice-president of finance
Marketing managers for three regions
A vice-president of marketing
A director of personnel
A vice-president of research and development
Production managers for three product lines
An administrative assistant to the president
A production force of 600 people
NOTES FOR CRITICAL THINKING EXERCISE 8-1
The following people are staff:
director of personnel
vice-president for research and development
administrative assistant to the president
research and development department
quality control officer
The rest have line positions.
Let the students draw the chart on the board with as little assistance as possible so they can think
it through. A possible solution is given on the following page.
8.1
Vice President
Production
Vice President
Finance
Vice President
Marketing
Vice President
Research and
Development
Personnel
Officer
150 R&D
employees
Marketing
Manager –
Region A
Marketing
Manager –
Region B
Marketing
Manager –
Region C
30 sales
employees
40 sales
employees
30 sales
employees
Production
Manager –
Product A
Production
Manager –
Product B
Production
Manager –
Product C
200
Production
employees
200
Production
employees
200
Production
employees
CHAPTER 8: Organizing Structure
Quality
Control
Officer
PEABODY RESEARCHERS, INC.
Possible Organization Chart
8.2
ANSWERS TO CRITICAL THINKING EXERCISE 8-2 (continued)
Administrative
Assistant
President