Question 1

What is ERP? What are the three reasons why ERP could fail?

Accepted Answer

ERP is enterprise resource planning. ERP

Question 2

What responsibility center is judged for effectiveness rather than efficiency?

Accepted Answer

A)  investment center 
B)  revenue center 
C)  standard cost center 
D)  profit center 
E)  expense center 
A)  investment center 
B)  revenue center 
C)  standard cost center 
D)  profit center 
E)  expense center

Question 3

Discuss the benchmarking process.

Accepted Answer

Benchmarking is "the continual process o

Question 4

If marketing attains its goal at the expense of rising production costs for the manufacturing department, the end result of marketing's achievements and manufacturing's cost increases reflects

Accepted Answer

A)  behavior substitution. 
B)  suboptimization. 
C)  resource allocation. 
D)  resource optimization. 
E)  strategy optimization. 
A)  behavior substitution. 
B)  suboptimization. 
C)  resource allocation. 
D)  resource optimization. 
E)  strategy optimization.

Question 5

Which of the following is NOT one of the steps followed in the benchmarking process?

Accepted Answer

A)  Develop tactical programs for closing performance gaps. 
B)  Implement tactical programs, measure the results, and compare the results with those of the best-in-class company. 
C)  Implement activity-based costing. 
D)  Identify the area or process to be examined. 
E)  Calculate the differences among the company's performance measurements and those of the best-in-class company. 
A)  Develop tactical programs for closing performance gaps. 
B)  Implement tactical programs, measure the results, and compare the results with those of the best-in-class company. 
C)  Implement activity-based costing. 
D)  Identify the area or process to be examined. 
E)  Calculate the differences among the company's performance measurements and those of the best-in-class company.

Question 6

The U.S. Navy quip, "What you inspect (or reward) is what you get" reflects

Accepted Answer

A)  behavior substitution. 
B)  suboptimization. 
C)  output control. 
D)  ERP. 
E)  none of the above 
A)  behavior substitution. 
B)  suboptimization. 
C)  output control. 
D)  ERP. 
E)  none of the above

Question 7

ABC is an accounting method for allocating direct and fixed costs to individual products.

Accepted Answer

A) True 
 B)False

Question 8

Which of the following is NOT a guideline for proper control?

Accepted Answer

A)  Control should involve only a minimum amount of information. 
B)  Long-term as well as short-term controls should be used. 
C)  Controls should be timely so that corrective actions can be taken before it is too late. 
D)  Controls should measure all activities in order to be comprehensive. 
E)  Controls should emphasize the reward of meeting or exceeding standards rather than punishment for failing to meet standards. 
A)  Control should involve only a minimum amount of information. 
B)  Long-term as well as short-term controls should be used. 
C)  Controls should be timely so that corrective actions can be taken before it is too late. 
D)  Controls should measure all activities in order to be comprehensive. 
E)  Controls should emphasize the reward of meeting or exceeding standards rather than punishment for failing to meet standards.

Question 9

The over-billing of customers in Sears's auto repair shops was an example of suboptimization.

Accepted Answer

A) True 
 B)False

Question 10

Which company experienced a tarnished reputation and scandal after experiencing behavior substitution when employees altered their behavior on the job to fit the reward system?

Accepted Answer

A)  Sears, Roebuck, & Co. 
B)  J.C. Penney 
C)  Neiman Marcus 
D)  Saks 
E)  Macy's 
A)  Sears, Roebuck, & Co. 
B)  J.C. Penney 
C)  Neiman Marcus 
D)  Saks 
E)  Macy's

Question 11

Which of the following is a way in which managers can improve their company's or business unit's EVA?

Accepted Answer

A)  earning more profit without using more capital 
B)  using more capital 
C)  investing capital in multiple low-return projects 
D)  extending their line of credit 
E)  all of the above 
A)  earning more profit without using more capital 
B)  using more capital 
C)  investing capital in multiple low-return projects 
D)  extending their line of credit 
E)  all of the above

Question 12

What is the most commonly used measure of corporate performance (in terms of profits)? Discuss the limitations of using this measure.

Accepted Answer

The most commonly used measure of corpor

Question 13

Which method of matching executive rewards to the accomplishment of strategic objectives is particularly appropriate for measuring and rewarding the performance of top SBU managers and group-level executives when performance factors and their importance vary from one SBU to another?

Accepted Answer

A)  strategic-funds method 
B)  segmentation method 
C)  long-term evaluation method 
D)  individual evaluation method 
E)  weighted-factor method 
A)  strategic-funds method 
B)  segmentation method 
C)  long-term evaluation method 
D)  individual evaluation method 
E)  weighted-factor method

Question 14

Benchmarking involves openly learning how others do something better than one's own company so that one not only can imitate, but perhaps even improve on their current techniques.

Accepted Answer

A) True 
 B)False

Question 15

All of the following are examples of output controls EXCEPT

Accepted Answer

A)  sales quotas. 
B)  specific cost reduction objectives. 
C)  profit objectives. 
D)  getting to work on time. 
E)  surveys of customer satisfaction. 
A)  sales quotas. 
B)  specific cost reduction objectives. 
C)  profit objectives. 
D)  getting to work on time. 
E)  surveys of customer satisfaction.

Question 16

Some takeover specialists look at the amount of money a new owner can take out of the firm without harming the business. This is known as

Accepted Answer

A)  leveraged buyout. 
B)  operating cash flow. 
C)  free cash flow. 
D)  dividends. 
E)  shareholder measure. 
A)  leveraged buyout. 
B)  operating cash flow. 
C)  free cash flow. 
D)  dividends. 
E)  shareholder measure.

Question 17

The evaluation and control process ensures that the company is achieving what it set out to accomplish.

Accepted Answer

A) True 
 B)False

Question 18

The long-term evaluation method encourages executives to look at developmental expenses as being different from expenses required for current operations.

Accepted Answer

A) True 
 B)False

Question 19

Benchmarking has been decreasing in popularity as companies emphasize uniqueness.

Accepted Answer

A) True 
 B)False

Question 20

Which is the MOST commonly used measure of corporate performance (in terms of profit)?

Accepted Answer

A)  EPS 
B)  ROE 
C)  DPS 
D)  ROI 
E)  ROVA 
A)  EPS 
B)  ROE 
C)  DPS 
D)  ROI 
E)  ROVA

What is ERP? What are the three reasons why ERP could fail?

What responsibility center is judged for effectiveness rather than efficiency?

Discuss the benchmarking process.

If marketing attains its goal at the expense of rising production costs for the manufacturing department, the end result of marketing's achievements and manufacturing's cost increases reflects

Which of the following is NOT one of the steps followed in the benchmarking process?

The U.S. Navy quip, "What you inspect (or reward) is what you get" reflects

ABC is an accounting method for allocating direct and fixed costs to individual products.

Which of the following is NOT a guideline for proper control?

The over-billing of customers in Sears's auto repair shops was an example of suboptimization.

Which company experienced a tarnished reputation and scandal after experiencing behavior substitution when employees altered their behavior on the job to fit the reward system?

Which of the following is a way in which managers can improve their company's or business unit's EVA?

What is the most commonly used measure of corporate performance (in terms of profits)? Discuss the limitations of using this measure.

Which method of matching executive rewards to the accomplishment of strategic objectives is particularly appropriate for measuring and rewarding the performance of top SBU managers and group-level executives when performance factors and their importance vary from one SBU to another?

Benchmarking involves openly learning how others do something better than one's own company so that one not only can imitate, but perhaps even improve on their current techniques.

All of the following are examples of output controls EXCEPT

Some takeover specialists look at the amount of money a new owner can take out of the firm without harming the business. This is known as

The evaluation and control process ensures that the company is achieving what it set out to accomplish.

The long-term evaluation method encourages executives to look at developmental expenses as being different from expenses required for current operations.

Benchmarking has been decreasing in popularity as companies emphasize uniqueness.

Which is the MOST commonly used measure of corporate performance (in terms of profit)?

Basic Concepts in Strategic Management

Corporate Governance

Ethics and Social Responsibility in Strategic Management

Environmental Scanning and Industry Analysis

Internal Scanning and Organizational Analysis

Strategy Formulation: Situation Analysis and Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Organizing for Action

Strategy Implementation: Staffing and Directing

Suggestions for Case Analysis

Filters

Exam 11: Evaluation and Control

What is ERP? What are the three reasons why ERP could fail?

What responsibility center is judged for effectiveness rather than efficiency?

Discuss the benchmarking process.

If marketing attains its goal at the expense of rising production costs for the manufacturing department, the end result of marketing's achievements and manufacturing's cost increases reflects

Which of the following is NOT one of the steps followed in the benchmarking process?

The U.S. Navy quip, "What you inspect (or reward) is what you get" reflects

ABC is an accounting method for allocating direct and fixed costs to individual products.

Which of the following is NOT a guideline for proper control?

The over-billing of customers in Sears's auto repair shops was an example of suboptimization.

Which company experienced a tarnished reputation and scandal after experiencing behavior substitution when employees altered their behavior on the job to fit the reward system?

Which of the following is a way in which managers can improve their company's or business unit's EVA?

What is the most commonly used measure of corporate performance (in terms of profits)? Discuss the limitations of using this measure.

Which method of matching executive rewards to the accomplishment of strategic objectives is particularly appropriate for measuring and rewarding the performance of top SBU managers and group-level executives when performance factors and their importance vary from one SBU to another?

Benchmarking involves openly learning how others do something better than one's own company so that one not only can imitate, but perhaps even improve on their current techniques.

All of the following are examples of output controls EXCEPT

Some takeover specialists look at the amount of money a new owner can take out of the firm without harming the business. This is known as

The evaluation and control process ensures that the company is achieving what it set out to accomplish.

The long-term evaluation method encourages executives to look at developmental expenses as being different from expenses required for current operations.

Benchmarking has been decreasing in popularity as companies emphasize uniqueness.

Which is the MOST commonly used measure of corporate performance (in terms of profit)?

Basic Concepts in Strategic Management

Corporate Governance

Ethics and Social Responsibility in Strategic Management

Environmental Scanning and Industry Analysis

Internal Scanning and Organizational Analysis

Strategy Formulation: Situation Analysis and Business Strategy

Strategy Formulation: Corporate Strategy

Strategy Formulation: Functional Strategy and Strategic Choice

Strategy Implementation: Organizing for Action

Strategy Implementation: Staffing and Directing

Suggestions for Case Analysis

Filters