Question 1

Adopting a set of "stretch" financial and "stretch" strategic objectives

Accepted Answer

A)  pushes the company to strive for lesser but adequate profitability levels, because the stretch objectives are considered unattainable. 
B)  is a widely held method for creating a "scorecard" for monitoring company performance. 
C)  helps convert the mission statement into meaningful company values. 
D)  challenges company personnel to execute the strategy with greater enthusiasm, proficiency, and understanding. 
E)  is an effective tool for pushing the company to perform at its full potential and deliver the best possible results. 
A)  pushes the company to strive for lesser but adequate profitability levels, because the stretch objectives are considered unattainable. 
B)  is a widely held method for creating a "scorecard" for monitoring company performance. 
C)  helps convert the mission statement into meaningful company values. 
D)  challenges company personnel to execute the strategy with greater enthusiasm, proficiency, and understanding. 
E)  is an effective tool for pushing the company to perform at its full potential and deliver the best possible results.

Question 2

What is the role and responsibility of a company's CEO in the strategy-making, strategy-executing process?

Accepted Answer

A company's senior executives obviously

Question 3

A "balanced scorecard" for measuring company performance

Accepted Answer

A)  entails putting equal emphasis on financial and strategic objectives. 
B)  entails putting balanced emphasis on profit and non-profit objectives. 
C)  prevents the drive for achieving financial objectives from overwhelming the pursuit of strategic objectives. 
D)  prevents the drive for achieving strategic objectives from overwhelming the pursuit of financial objectives. 
E)  strikes a "balance" between financial and strategic objectives. 
A)  entails putting equal emphasis on financial and strategic objectives. 
B)  entails putting balanced emphasis on profit and non-profit objectives. 
C)  prevents the drive for achieving financial objectives from overwhelming the pursuit of strategic objectives. 
D)  prevents the drive for achieving strategic objectives from overwhelming the pursuit of financial objectives. 
E)  strikes a "balance" between financial and strategic objectives.

Question 4

In a diversified company, the strategy-making hierarchy consists of

Accepted Answer

A)  corporate strategy and a group of business strategies (one for each line of business the corporation has diversified into). 
B)  corporate or managerial strategy, a set of business strategies, and divisional strategies within each business. 
C)  business strategies, functional strategies, and operating strategies. 
D)  corporate strategy, business strategies, functional strategies, and operating strategies. 
E)  its diversification strategy, its line of business strategies, and its operating strategies. 
A)  corporate strategy and a group of business strategies (one for each line of business the corporation has diversified into). 
B)  corporate or managerial strategy, a set of business strategies, and divisional strategies within each business. 
C)  business strategies, functional strategies, and operating strategies. 
D)  corporate strategy, business strategies, functional strategies, and operating strategies. 
E)  its diversification strategy, its line of business strategies, and its operating strategies.

Question 5

Corporate governance failures at Fannie Mae and Freddy Mac included all of the following EXCEPT

Accepted Answer

A)  a lack of understanding regarding the risks of subprime loan strategies. 
B)  a strong independent board of directors that was responsible for making independent judgments about the validity and wisdom of management's proposed strategic actions. 
C)  inadequate monitoring of the CEO and other senior executives. 
D)  fraudulent executive compensation systems. 
E)  ineffective oversight of the accounting principles employed to accurately determine earnings. 
A)  a lack of understanding regarding the risks of subprime loan strategies. 
B)  a strong independent board of directors that was responsible for making independent judgments about the validity and wisdom of management's proposed strategic actions. 
C)  inadequate monitoring of the CEO and other senior executives. 
D)  fraudulent executive compensation systems. 
E)  ineffective oversight of the accounting principles employed to accurately determine earnings.

Question 6

Which of the following are characteristics of an effectively worded strategic vision statement?

Accepted Answer

A)  balanced, responsible, and rational 
B)  challenging, competitive, and "set in concrete" 
C)  graphic, directional, and focused 
D)  realistic, customer-focused, and market-driven 
E)  achievable, profitable, and ethical 
A)  balanced, responsible, and rational 
B)  challenging, competitive, and "set in concrete" 
C)  graphic, directional, and focused 
D)  realistic, customer-focused, and market-driven 
E)  achievable, profitable, and ethical

Question 7

Which of the following principal aspects should be included in managing the strategy execution process?

Accepted Answer

A)  describing the strategic course that will help the company prepare for the future 
B)  organizing the company along the lines of best practice 
C)  surveying employees on how they think costs can be reduced and how employee morale and job satisfaction can be improved 
D)  exerting the external leadership needed to drive stabilization 
E)  tying rewards and incentives directly to profit 
A)  describing the strategic course that will help the company prepare for the future 
B)  organizing the company along the lines of best practice 
C)  surveying employees on how they think costs can be reduced and how employee morale and job satisfaction can be improved 
D)  exerting the external leadership needed to drive stabilization 
E)  tying rewards and incentives directly to profit

Question 8

A sound, well-communicated strategic vision matters, and the related payoffs occur in several respects, EXCEPT in connection with

Accepted Answer

A)  reducing the risks of rudderless decision-making. 
B)  helping the organization prepare for the future. 
C)  avoiding strategic inflection points and management's reaction in aligning decision choices. 
D)  helping to crystallize top management's own view about the firm's long-term direction. 
E)  providing a tool for winning the support of organizational members for internal changes that will help make the vision a reality. 
A)  reducing the risks of rudderless decision-making. 
B)  helping the organization prepare for the future. 
C)  avoiding strategic inflection points and management's reaction in aligning decision choices. 
D)  helping to crystallize top management's own view about the firm's long-term direction. 
E)  providing a tool for winning the support of organizational members for internal changes that will help make the vision a reality.

Question 9

A company needs financial objectives

Accepted Answer

A)  to overtake key competitors on such important measures as net profit margins and return on investment. 
B)  because without adequate profitability and financial strength, the company's ultimate survival is jeopardized. 
C)  to convince shareholders that top management is acting in their interests. 
D)  to translate the company's business model into action items. 
E)  to indicate to employees that financial objectives always take precedence over strategic objectives. 
A)  to overtake key competitors on such important measures as net profit margins and return on investment. 
B)  because without adequate profitability and financial strength, the company's ultimate survival is jeopardized. 
C)  to convince shareholders that top management is acting in their interests. 
D)  to translate the company's business model into action items. 
E)  to indicate to employees that financial objectives always take precedence over strategic objectives.

Question 10

The managerial task of effectively conveying the essence of the strategic vision is made easier by

Accepted Answer

A)  having operating strategies that are easy for company personnel to understand and execute. 
B)  combining the strategic vision and the company's values statement into a single document. 
C)  adopting a catchy slogan and then using it repeatedly to illuminate the direction and purpose of "where we are headed and why." 
D)  waiting until the company realizes its mission and ensures the existing corporate culture is compatible with the new vision and direction. 
E)  distributing written statements that explain "where we are going and why." 
A)  having operating strategies that are easy for company personnel to understand and execute. 
B)  combining the strategic vision and the company's values statement into a single document. 
C)  adopting a catchy slogan and then using it repeatedly to illuminate the direction and purpose of "where we are headed and why." 
D)  waiting until the company realizes its mission and ensures the existing corporate culture is compatible with the new vision and direction. 
E)  distributing written statements that explain "where we are going and why."

Question 11

Identify and explain three actions that top executives can take to help instill a spirit of high achievement into the corporate culture and mobilize organizational energy behind the drive for good strategy execution and operating excellence.

Accepted Answer

Each company manager has to think throug

Question 12

Well-stated objectives are

Accepted Answer

A)  quantifiable or measurable, and contain deadlines for achievement. 
B)  succinct and concise so as to identify the company's risk and return options. 
C)  broad and take into account views of all the stakeholders. 
D)  directly related to the dividend payout ratio for stockholder returns. 
E)  representative of customers' aspirations for company performance. 
A)  quantifiable or measurable, and contain deadlines for achievement. 
B)  succinct and concise so as to identify the company's risk and return options. 
C)  broad and take into account views of all the stakeholders. 
D)  directly related to the dividend payout ratio for stockholder returns. 
E)  representative of customers' aspirations for company performance.

Question 13

Masterful strategies come from

Accepted Answer

A)  successful managerial efforts to develop a sound strategic vision. 
B)  doing a very thorough job of strategic planning. 
C)  involving as many company personnel as possible in the strategy-making process. 
D)  crafting a strategy that mimics the best parts of the strategies of the industry leaders. 
E)  doing things differently from competitors where it counts rather than running with the herd. 
A)  successful managerial efforts to develop a sound strategic vision. 
B)  doing a very thorough job of strategic planning. 
C)  involving as many company personnel as possible in the strategy-making process. 
D)  crafting a strategy that mimics the best parts of the strategies of the industry leaders. 
E)  doing things differently from competitors where it counts rather than running with the herd.

Question 14

Which is more important to a company's future financial performance-the achievement of strategic objectives or the achievement of financial objectives? Why?

Accepted Answer

A good financial performance, by itself,

Question 15

Explain the difference between financial objectives and strategic objectives. Give examples of each.

Accepted Answer

Financial objectives relate to the finan

Question 16

What does a company specifically exhibit when it relentlessly pursues an ambitious strategic objective, concentrating the full force of its resources and competitive actions on achieving that objective?

Accepted Answer

A)  competitive edge 
B)  sustainable advantage 
C)  strategic intent 
D)  financial strength 
E)  strategic vision 
A)  competitive edge 
B)  sustainable advantage 
C)  strategic intent 
D)  financial strength 
E)  strategic vision

Question 17

Which of the following ARE common shortcomings of company vision statements?

Accepted Answer

A)  too specific and too flexible 
B)  unrealistic, unconventional, and un-businesslike 
C)  too broad, vague or incomplete, bland/uninspiring, not distinctive, and too reliant on superlatives 
D)  too graphic, too narrow, and too risky 
E)  not customer-driven, out of step with emerging technological trends, and too ambitious 
A)  too specific and too flexible 
B)  unrealistic, unconventional, and un-businesslike 
C)  too broad, vague or incomplete, bland/uninspiring, not distinctive, and too reliant on superlatives 
D)  too graphic, too narrow, and too risky 
E)  not customer-driven, out of step with emerging technological trends, and too ambitious

Question 18

Which one of the following is NOT one of the five basic tasks of the strategy-making, strategy-executing process?

Accepted Answer

A)  developing a strategic vision of where the company needs to head and what its future business makeup will be 
B)  Strategic Management to convert the strategic vision into specific strategic and financial performance outcomes for the company to achieve 
C)  crafting a strategy to achieve the objectives and get the company where it wants to go 
D)  developing a profitable business model 
E)  executing the chosen strategy efficiently and effectively 
A)  developing a strategic vision of where the company needs to head and what its future business makeup will be 
B)  Strategic Management to convert the strategic vision into specific strategic and financial performance outcomes for the company to achieve 
C)  crafting a strategy to achieve the objectives and get the company where it wants to go 
D)  developing a profitable business model 
E)  executing the chosen strategy efficiently and effectively

Question 19

Every corporation should have a strong independent board of directors that does all of the following EXCEPT

Accepted Answer

A)  is well informed about the company's performance and exercises its fiduciary duty to protect shareholders responsibly. 
B)  guides management in choosing a strategic direction and makes independent judgments about the validity and wisdom of management's proposed strategic actions. 
C)  evaluates the leadership skills of the CEO and other senior executives. 
D)  has the courage to curb management actions deemed inappropriate or unduly risky. 
E)  is responsible for leading the strategy-making, strategy-executing process. 
A)  is well informed about the company's performance and exercises its fiduciary duty to protect shareholders responsibly. 
B)  guides management in choosing a strategic direction and makes independent judgments about the validity and wisdom of management's proposed strategic actions. 
C)  evaluates the leadership skills of the CEO and other senior executives. 
D)  has the courage to curb management actions deemed inappropriate or unduly risky. 
E)  is responsible for leading the strategy-making, strategy-executing process.

Question 20

A strategic vision constitutes management's view and conclusions about the company's

Accepted Answer

A)  long-term direction and what product-market-customer mix seems optimal. 
B)  business model and the kind of value that it is trying to deliver to customers. 
C)  justification of why the business will be a moneymaker. 
D)  past and present scope of work. 
E)  long-term plan for outcompeting rivals and achieving a competitive advantage. 
A)  long-term direction and what product-market-customer mix seems optimal. 
B)  business model and the kind of value that it is trying to deliver to customers. 
C)  justification of why the business will be a moneymaker. 
D)  past and present scope of work. 
E)  long-term plan for outcompeting rivals and achieving a competitive advantage.

Adopting a set of "stretch" financial and "stretch" strategic objectives

What is the role and responsibility of a company's CEO in the strategy-making, strategy-executing process?

A "balanced scorecard" for measuring company performance

In a diversified company, the strategy-making hierarchy consists of

Corporate governance failures at Fannie Mae and Freddy Mac included all of the following EXCEPT

Which of the following are characteristics of an effectively worded strategic vision statement?

Which of the following principal aspects should be included in managing the strategy execution process?

A sound, well-communicated strategic vision matters, and the related payoffs occur in several respects, EXCEPT in connection with

A company needs financial objectives

The managerial task of effectively conveying the essence of the strategic vision is made easier by

Identify and explain three actions that top executives can take to help instill a spirit of high achievement into the corporate culture and mobilize organizational energy behind the drive for good strategy execution and operating excellence.

Well-stated objectives are

Masterful strategies come from

Which is more important to a company's future financial performance-the achievement of strategic objectives or the achievement of financial objectives? Why?

Explain the difference between financial objectives and strategic objectives. Give examples of each.

What does a company specifically exhibit when it relentlessly pursues an ambitious strategic objective, concentrating the full force of its resources and competitive actions on achieving that objective?

Which of the following ARE common shortcomings of company vision statements?

Which one of the following is NOT one of the five basic tasks of the strategy-making, strategy-executing process?

Every corporation should have a strong independent board of directors that does all of the following EXCEPT

A strategic vision constitutes management's view and conclusions about the company's

What Is Strategy and Why Is It Important

Evaluating a Companys External Environment

Evaluating a Companys Resources and Competitive Position

The Five Generic Competitive Strategies: Which One to Employ

Supplementing the Chosen Competitive Strategy: Other Important Business Strategy Choices

Strategies for Competing in Foreign Markets

Diversification: Strategies for Managing a Group of Businesses

Ethical Business Strategies, Social Responsibility, and Environmental Sustainabil ITY

Building an Organization Capable of Good Strategy Execution

Managing Internal Operations: Actions That Promote Good Strategy Execution

Corporate Culture and Leadership: Keys to Good Strategy Execution

Filters

Exam 2: Leading the Process of Crafting and Executing Strategy

Adopting a set of "stretch" financial and "stretch" strategic objectives

What is the role and responsibility of a company's CEO in the strategy-making, strategy-executing process?

A "balanced scorecard" for measuring company performance

In a diversified company, the strategy-making hierarchy consists of

Corporate governance failures at Fannie Mae and Freddy Mac included all of the following EXCEPT

Which of the following are characteristics of an effectively worded strategic vision statement?

Which of the following principal aspects should be included in managing the strategy execution process?

A sound, well-communicated strategic vision matters, and the related payoffs occur in several respects, EXCEPT in connection with

A company needs financial objectives

The managerial task of effectively conveying the essence of the strategic vision is made easier by

Identify and explain three actions that top executives can take to help instill a spirit of high achievement into the corporate culture and mobilize organizational energy behind the drive for good strategy execution and operating excellence.

Well-stated objectives are

Masterful strategies come from

Which is more important to a company's future financial performance-the achievement of strategic objectives or the achievement of financial objectives? Why?

Explain the difference between financial objectives and strategic objectives. Give examples of each.

What does a company specifically exhibit when it relentlessly pursues an ambitious strategic objective, concentrating the full force of its resources and competitive actions on achieving that objective?

Which of the following ARE common shortcomings of company vision statements?

Which one of the following is NOT one of the five basic tasks of the strategy-making, strategy-executing process?

Every corporation should have a strong independent board of directors that does all of the following EXCEPT

A strategic vision constitutes management's view and conclusions about the company's

What Is Strategy and Why Is It Important

Evaluating a Companys External Environment

Evaluating a Companys Resources and Competitive Position

The Five Generic Competitive Strategies: Which One to Employ

Supplementing the Chosen Competitive Strategy: Other Important Business Strategy Choices

Strategies for Competing in Foreign Markets

Diversification: Strategies for Managing a Group of Businesses

Ethical Business Strategies, Social Responsibility, and Environmental Sustainabil ITY

Building an Organization Capable of Good Strategy Execution

Managing Internal Operations: Actions That Promote Good Strategy Execution

Corporate Culture and Leadership: Keys to Good Strategy Execution

Filters