Question 1

The success of bonus compensation as an incentive hinges on:

Accepted Answer

A) The executive in question 
B) The success of the firm 
C) The match between the plan and the firm's strategic objectives 
D) The positive link between shareholder wealth and personal wealth maximization

Question 2

___________ is the most frequently outsourced functional activity at 75 percent.

Accepted Answer

A) Marketing 
B) Payroll 
C) Travel 
D) HR

Question 3

Functional tactics are more _________ than business strategies.

Accepted Answer

A) Specific 
B) Focused on the general direction of the firm 
C) Focused on a commitment to corporate strategy 
D) Long-term

Question 4

One benefit of short-term objectives and action plans is that they provide a __________.They can provide clear,measurable mechanisms for developing budgets,schedules and trigger points,which help control the implementation of strategy.

Accepted Answer

A) Basis for strategy evaluation 
B) Basis for motivation 
C) Basis for strategy implementation 
D) Basis for strategic control

Question 5

Which of the following is NOT a way that specificity in functional tactics contributes to successful implementation?

Accepted Answer

A) Helping ensure that functional managers know what needs to be done and can focus on accomplishing results 
B) Limiting the need for top management's confidence in and sense of control over the business strategy 
C) Clarifying for top management how functional managers intend to accomplish the business strategy 
D) Facilitating coordination among operating units within the firm by clarifying areas of interdependence and potential conflict

Question 6

A firm with a strategic goal of growing the share price incrementally should implement a:

Accepted Answer

A) Restricted stock plan 
B) Stock option plan 
C) Cash-based plan 
D) Golden parachute

Question 7

Business strategies provide _______ direction.

Accepted Answer

A) General 
B) Focused 
C) Generic 
D) Narrow

Question 8

Policies can be ________.One good example of this is the use of equal employment opportunity practices.

Accepted Answer

A) Internally derived 
B) Negative 
C) Externally imposed 
D) Very simple in nature

Exam 10: Implementation