Question 1

Every ________ in a company executes functional tactics that support the business's strategy and help accomplish strategic objectives.

Accepted Answer

A)   Competitive rivalry
B)   Supplier/customer
C)   Value chain activity
D)   Business unit manager C

Question 2

The strategic ________ of policies can vary.

Accepted Answer

A)   Direction
B)   Plan
C)   Significance
D)   Advantage C

Question 3

The ___________ of functional tactics allows functional managers to adjust to changing current conditions.

Accepted Answer

A)   Shorter time horizon
B)   Focus on growth
C)   Specificity
D)   Business focus A

Question 4

It is far easier to quantify the objectives of ______,like production,than of certain ______ areas like personnel.

Accepted Answer

A)   Line units; function
B)   Staff units; line
C)   Outcomes; staff
D)   Line units; staff

Question 5

One way operating managers ensure decision making is consistent with the mission,strategy and tactics of the business while allowing considerable latitude to operating personnel is through the use of:

Accepted Answer

A)   Empowerment
B)   Policies
C)   Strategic evaluation
D)   Facilitating strategic design

Question 6

______ identify who is responsible for each action in the plan.

Accepted Answer

A)   Action ideas
B)   Long-term objectives
C)   Action plans
D)   Policies

Question 7

_______ communicate guidelines to decisions.

Accepted Answer

A)   Policies
B)   Action plans
C)   Functional tactics
D)   Business strategy objectives

Question 8

Business strategies,grand strategies,and ______ are critically important in crafting a successful future.

Accepted Answer

A)   Long-term objectives
B)   Core rigidities
C)   Business units
D)   Functional hierarchies

Question 9

Policies establish __________ over independent action.

Accepted Answer

A)   strategic control
B)   Indirect control
C)   direct control
D)   visionary control

Question 10

The goal of an executive bonus compensation plan is to:

Accepted Answer

A)   Motivate executives to achieve maximization of shareholder wealth
B)   Motivate executives to achieve maximization of personal wealth
C)   Differentiate executives from other managers
D)   Ensure the success of the firm

Question 11

Functional tactics translate thought (______)into action designed to accomplish specific short-term objectives.

Accepted Answer

A)   policies
B)   mission
C)   vision
D)   grand strategy

Question 12

__________ increase managerial effectiveness by standardizing many routine decisions and clarifying the discretion managers and subordinates can exercise in implementing functional tactics.

Accepted Answer

A)   Outsourcing
B)   Standard operating procedures
C)   Corporate cultures
D)   Action plans

Question 13

Stock options have typically represented _______ of a CEO's average pay package.

Accepted Answer

A)   Less than 30 percent
B)   Less than 50 percent
C)   More than 50 percent
D)   More than 90 percent

Question 14

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

Accepted Answer

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

Question 15

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 16

Policies are also sometimes called

Accepted Answer

A)   standard operating procedures
B)   action plans
C)   functional tactics
D)   business strategy objectives

Question 17

________ provide incentive for the executive to create wealth for shareholders as measured by increases in the firm's share price.

Accepted Answer

A)   Stock option grants
B)   Golden handcuffs
C)   Golden parachutes
D)   Cash-based plans

Question 18

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 19

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 20

__________ is acquiring an activity,service or product necessary to provide a company's products or services from "outside" the people or operations controlled by that acquiring company.

Accepted Answer

A)   Specialization
B)   Fragmentation
C)   Outsourcing
D)   Acquisition or merging

Exam 10: Implementation