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Exam SPHR topic 4 question 70 discussion

Actual exam question from HRCI's SPHR
Question #: 70
Topic #: 4
[All SPHR Questions]

personnel decisions. Your structure currently has all decision-making authority in higher levels of the organization. Which of the following terms best describes your organizational structure?

  • A. Centralized organization
  • B. Projectized
  • C. Strong matrix structure
  • D. Functional structure
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Suggested Answer: A 🗳️
Answer option A is correct.
An organization that retains all decision-making power at higher levels only is a centralized organization.
Answer option B is incorrect. A projectized structure describes a company that uses management by projects. This structure gives authority to project managers and all actions, jobs, and opportunities are treated as projects.
Answer option C is incorrect. A strong matrix structure describes a structure where resources are used from across the company and functional managers have decision making authority over the resources.
Answer option D is incorrect. A functional structure describes an entity where each manager is in charge of decisions, resources, and projects in their department.
Each department is isolated from other entities within the company.
Reference: Professional in Human Resources Certification Study Guide, Sybex, ISBN: 978-0-470-43096-5. Chapter Four: Workforce Planning and Employment.
Chapter: Business Management and Strategy
Objective: Strategic Management

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