Chapter 2

The process of developing a vision and mission statement often includes which of these as the first activity?

Asking managers to read selected articles about vision and mission statements

Who is referred to as "the father of modern management?"

Drucker

A vision statement should answer the question, "What do we want to become?"

T

According to Drucker, what is the best time to ask, "What do we want to become?" and "What is our business?"?

When the firm is successful

Stakeholders of an organization include stockholders, customers and creditors, but not competitors.

F

Research has failed to find a positive relationship between mission statements and organizational performance.

F

The utility statement, "Do not offer me attractive looks; offer me clothes," is relevant in developing a mission statement.

F

Which component of a mission statement addresses the basic beliefs, values, aspirations, and ethical priorities of the firm?

Philosophy

A company's distinctive competence is one of the nine components found in a good mission statement.

T

A mission statement, is an enduring statement of purpose that distinguishes one organization from other similar enterprises.

T

According to Peter Drucker, answering the question "What is our business?" is the first responsibility of strategists.

T

One of the benefits of having a clear mission and vision is the promotion of a sense of shared expectations among all managers and employees.

T

Stakeholders both affect and are affected by an organization's strategic decisions.

T

The relative attention an organization will devote to meeting the claims of various stakeholders is indicated in a good mission statement.

T

According to Drucker, which question is synonymous with asking "What is our mission?"?

What do we want to become?

All stakeholders' claims on an organization ________ pursued with equal emphasis.

cannot be

In developing a mission statement, arousing emotion

is important.

As indicated in the strategic-management model, a clear ________ is needed before alternative strategies can be formulated and implemented.

mission statement

An ________ with expertise in developing vision and mission statements and with unbiased views, can at times manage the process more effectively than an internal group or committee of managers.

outside facilitator

Too often, strategists develop ________ only when the organization is in trouble.

vision and mission statements