Chapter 5-7

Rule

"No smoking is allowed anywhere in the building" is an example of which type of standing plan?

Specialized databases such as nexus trade shows or conferences investor information

identify the public resources for gaining competitive intelligence.

-Execution means achieving promised -Execution can serve to align people with goals -Execution consists in part of questioning and analysis

which of the following statements about execution are true

-Different budgets -Different strategies by competitors -Different economic pictures

which of the following would be included in the contingency planning process

Feedback

in the final step of the strategic management process, a manger might hear about a problem among a work group and decide to place a new person in charge of that group. the information the manager used to make this decision creates a ___ loop to return to an earlier step

Action plans and short-term goals

operating plans lead to which of the following?

1 week to 52 weeks

operational planning

trend

two types of forecasting are _____ analysis and contingency planning.

Tactical Operational Strategic

what are the three types of goals used in planning that become the hierarchy for the mean-send chain?

Monica's rare book company has weak competition

when applying SWOT analysis, which of the following demonstrates an external opportunity that the company may exploit?

a cascading goals

when strategic goals align with one another across all levels of the business in order to contribute to overall coporate success, the business is successfully following a strategy of creating

it is a time-consuming process it is the basis for determining long-term goals

which of the following are characteristics of strategy formulation?

control the direction by taking corrective actions control the direction by comparing results with the plan

which of the following are the control steps in the planning/control cycle?

Short-term and long-term

which of the following are types of goals in business?

is it positive is it inspiring

which of the following questions should be answered yes by a company's vision statement

Improvement objective

Decrease scrap material by 10% within the next quarter

It helps the company set goals

Why is planning important?

vision

A _____ statement describes a company's long-term direction and strategic intent.

procedure

A ____________ is a standing plan that outlines the response to particular problems or circumstances rather than giving general responses to situations.

creates a new, uncontested market space makes competitors irrelevant

A blue ocean strategy does which two of the following

it indicates what the organization's products contribute to the world it expresses the core priorities of the country it reflects the organization's deeply held beliefs

A values statement benefits a company in which of the following ways?

action

A(n) ___________ plan defines the course that is needed to achieve the stated goal.

-Engage people -Keep moving -Stay focused -Keep it simple

According to Bryan Barry, there are four things a manager can do to keep a strategic plan on track.

defensive strategy

Also called retrenchment strategy, one of three grand strategies, this strategy involves reduction in the organization's efforts

positioning

An organization that attempts to achieve sustainable competitive advantage by preserving what is distinct about it may perform different activities from rivals or perform similar activities, but in different ways. This is known as strategic ___________.

benchmarking

Anita felt that for her taxi company to continually measure itself against its best competition. She kept track of the number of rides per hour and turnaround times for all her drivers and compared it to that of the high-performing taxi group in the next town. Anita is using ______ to compare her company with another.

Values

Ash has been asked to write a statement to describe what the organization stands for, or its

-Stars (High growth, high market share- definite keepers) -Question marks (Risky new ventures- some will become stars, some dogs) -Dogs (Have low growth, low market share- should be gotten rid of) -Cash cows (Have slow growth but high market share- income finance stars and question marks)

BCG Matrix

every 6 to 12 months

Based on the practice of management by objectives, how often should managers and subordinates meet to give performance appraisals and rewards?

describe the basic operations of the business

Corey is creating a business to sell neckties. As part of his planning, he wants to set up a business model. The business model should _____________.

Rule

Designates specific required action

scanning

Environmental _____ is the careful monitoring of an organization's internal and external environments to detect early signs of opportunities and threats that may influence the firm's plan.

Managers and employees jointly set objectives for the employee

What is the first step in a management by objectives?

the manager and employee periodically review the employee's performance

What is the third step in management by objectives?

12 months

What is the usual span of time for a tactical goal?

top management must be highly committed, objectives must cascade through the organization, and it must be applied organizational wide

For management by objectives to be successful, which of the following must occur?

they are a great motivator they provide a mechanism for giving ourselves feedback, and they help concentrate the mind to help you make quick decisions

Identify the advantages to establishing deadlines.

intelligence

If a company is to survive, it must keep track of what its competitors are doing through competitive

single product

In a ______________ strategy, a company makes and sells only one product within its market.

focus on increasing their organization's efficiency

In order to gain competitive intelligence, managers could do all of the following EXCEPT

challenging but achievable

In terms of SMART goals, an attainable goal is

lower

In the MBO process, cascading goals are structured from top to bottom management so that they become more specific at ____________ levels of the organization.

second

In the ___________ step of the MBO process, managers prepare an action plan for attaining identified objectives

forecast

Jamie's soda manufacturing company performed a recent SWOT analysis and forecasted that at least 40% of the population would consume more soda over the next two years. This vision of what could happen is known as a

Strategic

Lizette works for a soda bottling company and is developing a five-year plan that shows the long-term goals of the organization. Lizette is in the process of ____ Planning

strategy

Ned started his company six years ago and has tried to grow his business by increasing sales from his customer base rather than trying to acquire new companies. Ned's thought for growing his business are an example of a(n)

diversification

Operating several businesses in order to spread the risk is the goal of a _____________ strategy.

Policy

Outlines the general response to a designated problem or situation

1. Establish the mission and vision 2. Assess the current reality 3. Formulate the grand strategy & strategic, tactical & operational plans 4. Implement the strategy 5. Maintain strategic control

Place the steps in the strategic-management process in the correct order, with the first step listed at the top.

1. Make the plan 2. Carry out the plan 3. Control the direction by comparing results with the plan. 4. Control the direction by correcting deviations and/or improving future plans

Place the steps of the planning/control cycle in the correct order, with the first step listed at the top and the final step listed at the bottom

cost-leadership, differentiation, focused-differentiation, cost-focus

Porter's competitive strategies include which of the following?

Operations strategy people

When discussing strategic management, effective execution requires managers to build a foundation for execution within several core processes. Identify these core processes below.

strength

Rolls Royce Corporation has a superior reputation. This is an example of an organizational ________.

stating that 85% of deliveries should be completed within 2 hours

Several managers of a city messenger service wanted to improve the reliability of the service. Which of the following would correspond to creating a measurable goal?

focused

Specialty stores with high-end products such as Cartier jewelry offer products that are of unique and superior value compared to those of competitors. This is an example of the _______________ -differentiation strategy, one of Porter's competitive strategies.

1 year to 5 years

Strategic planning

quality, effectiveness, innovation, and customer responsiveness

Sustainable competitive advantage occurs when an organization is able to get ahead and stay ahead of its competitors in which of the following areas?

6 months to 24 months

Tactical planning

middle

Tactical planning is performed by _______________ management, who determine what contributions their departments or work units can make toward the organization's strategic priorities during the next 6 to 24 months. middle

Vision Statement

The ______ answers the question, "what do we want to become?" and provides a clear sense of the future and the actions needed to get there.

mission

The organization's _____ statement expresses the organization's purpose or reason for being

motivate

The purpose of MBO is to _______ rather than control subordinates.

Organizational strengths

The skills and capabilities that give the organization special competencies and competitive advantages in executing strategies in pursuit of its mission are called ________________________.

making the plan and carry out the plan

The two planning/control cycle involve

differentiation

The use of brands to make a company stand out from its competitors is part of the ____ Strategy

mission

The_____ statement expresses the purpose of an organization

projects

There are two types of single-use plans developed for activities that are not likely to be repeated in the future: programs and

Procedure

Trisha has developed a specific way for the candy to be packaged at her company. all candies must be packaged in the method she has created in order for it to be approved for sale to customers. What type of standing plan has trisha created?

True

True or false: A company must choose which strategy to follow in positioning itself. However, at the same time, it must also choose which strategy NOT to follow.

False

True or false: Rather than ask her assembly line management team about the purchase of new equipment, Kerri decided to go ahead and make the purchase. She feels that as the executive director of operations, she has the authority to make this type of decision without consulting other managers in the organization. This is an example of strategic management.

False

True or false: top managers perform operational planning.

Strategic plan

What document guides long-term goals?

narrow

When pursuing a cost-focus strategy, a company would target a _____ market

1. target dates 2. Measurable 3. Specific

When referring to SMART goals, which of the following terms are represented in the acronym "SMART"? Check all that apply

Taxis services newspapers borders bookstores

Which businesses and industries have been greatly affected by a lack of clear long-range planning?

1. Threat of substitute products or services 2.bargaining power of buyers 3. rivalry among competitors 4. bargaining power of suppliers.

Which of the following are part of porter's five competitive forces

Few needs, many customers Broad needs, many customers Broad needs, few customers

Which of the following are sources from which a strategic position emerges?

value, rarity, and imitability

Which of the following concepts appear in the VRIO framework

project

Which of the following is a single-use plan that has less scope and complexity than a program?

Programs and Projects

Which of the following would be considered single-use plans?

file tax return by April 15 and lose 10 pounds by the end of the year

Which of the following would meet the SMART goal characteristic of specifying a target date?

it provides direction and momentum, encourages new ideas, and helps the firm develop a sustainable competitive advantage

Which three of the following are specific reasons why organizations should adopt planning and strategic management?

the firm's expected revenues and expenses how the firm will market to customers A description of the industry the firm is entering

Which three of the following would be included in a firm's business model?

operational planning

Which type of planning refers to determining how to accomplish specific tasks with available resources within the next 1-52 weeks?

tactical

Which type of planning refers to determining what contributions departments or similar work units can make with their given resources during the next 6-24 months?

weaknesses

Within a SWOT analysis, the letter "W" represents a companys ______.

Growth

a __________ strategy involves expansion in some aspect of the business, such as sales, market share, number of employees, or number of customers or clients served.

business plan

a document that outlines a proposed firm's goals, its strategy for achieving those goals, and the standards for measuring success is known as a(n)

specificity

a goal that is too vague, lacks detail, and is too general is missing which aspect of SMART goal criteria?

an organizations core priorities the values employees embody what the organization stands for

a values statement should include which of the following

programs

a(n) is a single-use plan encompassing a broad range of projects or activities.

firs-line managers, middle managers, and top managers

as a company undertakes strategic management, which three groups should be involved?

personal development

attend time management training

cost-leadership

computer maker dell tries to have the lowest prices for computers in the marketplace. In porter's four competitive strategies, this would be an example of the ____ strategy

maintenance objective

continue current production rates on custom-printed jobs

The company's mission statement

during a meeting with the board of director of charter bank, the president pickep up a document and read the following statement: we provide low-cost loans to help start-up

procedure

outlines the response to particular problems or circumstances

strategic positioning

relies on three core principles including creating of a unique position, trade-offs, and "fit", each of which inform each other.

Diversification

selling several products that are not related to one another under one ownership describes a ________ strategy

vulnerability

the risk of a single-product strategy is