Exam 10: Communicating the Strategy and Developing Action Plans

Budget requests associated with unit objectives should include which of the following?

The initial strategic plan for an organization is usually the product of a relatively small number of strategic thinkers.

Unit manager action plans in aggregate represent the implementation plan for the organization.

Contingency planning may be incorporated into the normal strategic management process at any level and is a part of managing the strategic momentum.

The engagement of employees is not essential to implementing strategies.

A primary reason why strategies are not implemented is because, in many health care organizations, effective or ineffective implementation makes little or no difference in resource allocation and reward distribution.

Which of the following is TRUE of unit manager action plans?

Concerning objectives, attainability as a characteristic is not necessary as long as the objectives support strategic goals and are measurable.

Action plans concern translating directional, adaptive, market entry, and competitive strategies into tasks, work assignments, and deadlines.

All communication within the organization concerning strategies and strategic implementation should be "top down."

The establishment of measurements for results is not an element of developing an action plan.

Discuss the importance of communication in strategy implementation.

Identifying objectives, determining who is responsible to accomplish them, the resources required, and how results will be measured is an approach that keeps the strategic plan straightforward and comprehensible.

Which of the following is NOT a characteristic that should be demonstrated by unit objectives?

The chaos paradox of strategic management holds that the more chaotic the external environment, the more strategic planning is needed.

The Balanced Scorecard approach to strategy implementation is compatible with, and complementary to, the value chain concept.

An effective action plan, regardless of level, consists of objectives that specify how the unit (division, hospital, pharmacy) is going to contribute to the strategy, what actions will be required to achieve the objectives and within what time period, who is responsible for the actions, the resources required to achieve the objectives, and how results will be measured.

Because everyone cannot be directly involved in developing a strategic plan, successive layers of management must communicate the overall strategy and provide guidance for the various units that will need to be engaged if the strategy is to be achieved.

Once developed and implemented, action plans operate on "autopilot," without the need for managerial monitoring, evaluation, and adjustment.

An action plan identifies actions required to accomplish objectives and the sequence in which the actions should be undertaken.