MindTap Ch 5 Assignment: Planning and Goal Setting
A meditation instructor partners with a technology developer to market relaxation apps featuring soothing natural sounds and guided meditation exercises. The tech expert writes the code, and the meditation instructor develops the apps' content.
Build synergy
Mi Ola designs swimsuits for women who are athletic in the water, and the swimsuits have design features that allow them to stay on during physical activity. This indicates that Mi Ola has a __________. Check all that apply.
- Focus strategy - Differentiation strategy
When Paul O'Neill joined Alcoa as CEO, he set a __________ that there would be zero workplace accidents. A lot of people in the organization thought this was impossible given how dangerous some aluminum-manufacturing jobs are, but Alcoa's safety record improved tremendously.
stretch goal
By acquiring a technology company that develops smartphone apps, a video-streaming business hopes to achieve __________ , combining its video rights with mobile technology to increase profits.
synergy
As a manager, you have been asked to work with your employees to develop goals. What can you expect from this process? (Check all that apply.)
- One of the drawbacks of plans is that they can create a false sense of security. - A benefit of goals is that they help motivate employees.
Differentiation strategies increase competition because they reduce customer loyalty. True or false?
False
When discussing how she pitches Mi Ola to investors, Helena says her goals and plans are based on a number of assumptions that might or might not be realistic. You might advise her to __________ to deal with this unpredictable business environment.
decentralize planning
Applewood Seed Co. of Colorado has fifty years of experience growing and supplying native wildflowers, grasses, and herbs to seed distributors, landscapers, golf courses, state highway departments, parks departments, government agencies, garden centers, mining companies, hydroseeders, and reclamation companies. Applewood has both an in-depth horticultural knowledge of native plants and the ability to supply in bulk.
Exploit core competencies
Businesses that do not adopt a differentiation, low-cost leadership, or focus strategy tend to be more successful than businesses that do adopt these strategies. True or false?
False
To develop effective lower-level goals, Michelle works with her management team to establish __________ , which measure how well the organization is achieving its strategic goals.
key performance indicators
Typically set by midlevel managers, __________ are the desired future outcomes of the major subunits of the organization.
tactical goals
When referring to a SWOT analysis, the letter T stands for __________ , and it refers to factors that are __________ to the organization.
threats, external
Liam wants to get an MBA from a top business school. He graduated from college several years ago, where he majored in engineering and earned a solid grade point average. After working as an engineer, he has decided he wants to move into management with a focus on strategy. Gaining entry to a highly competitive graduate program will require an excellent GMAT score. Liam decides to take the GMAT in October. To achieve this objective, Liam has decided to use management by objectives (MBO). A. After studying for a month, Liam takes a practice test and scores 40 points higher than he did on his first practice test. B. Liam will spend one hour each weeknight and three hours every Saturday and Sunday studying GMAT practice questions. C. Liam takes the test in October and scores a 720. He goes out to his favorite restaurant to celebrate. D. Based on the average test scores of students at his target schools, Liam decides he wants to earn a 710 on the GMAT.
A. Reviewing progress B. Developing an action plan C. Appraising performance D. Setting a goal
A financial adviser hosts a blog where he invites other personal finance experts to guest-blog on everything from real estate to estate taxes to tax write-offs. The variety of advice increases the site's search engine optimization (SEO) and attracts many more potential clients for all the participating financial professionals.
Build Synergy
After he finishes celebrating with his team, Bruce Bochy, the manager of the 2014 World Series Champion San Francisco Giants, is going to do a SWOT analysis to determine his strategy for the upcoming baseball season. Help him figure out how he should classify the following information. Which of the following factors should be classified as a weakness for the team?
Several Giants players have had extraordinary seasons, but now some of them are not playing as well as they did when they were younger.
Considering all of the factors listed in the preceding SWOT analysis question, which of the following strategies would make the most sense for the Cubs in the upcoming season?
Sign a free-agent outfielder to bolster the current roster and sign the current pitchers to long-term contracts.
Drybar, which started in Brentwood, California, in 2010, is a hair salon catering entirely to people with curly or frizzy hair who want their hair straightened. No cuts, perms, or coloring happen here. The store now has over 40 locations.
Target customers
After he finishes celebrating with his team, Jed Hoyer, the general manager of the 2016 World Series Champion Chicago Cubs, is going to do a SWOT analysis to determine his strategy for the upcoming baseball season. Help him figure out how he should classify the following information. Which of the following factors should be classified as an opportunity for the team?
There are a number of free-agent outfielders who are available for signing by the Cubs this year, many of whom have better statistics than the current team members.
Helena discusses how she might arrive at a budget for her website. If she decides to hire a consultant to make the website more mobile-friendly and integrate better across social media platforms, which of the following would be true?
This would be an operational plan.
Through BullseyeUniversity.com, Target Corporation uses a reality show-style marketing campaign to build relationships with college students, an ideal market for its affordable dorm room supplies.
Target customers
A __________ is a desired future circumstance or condition that the organization wants to realize.
goal
In 2017, Amazon acquired Whole Foods. Amazon managers believed that the acquisition would give them a wider range of customers and it would allow them to sell food products that had not previously been available on Amazon. Together, the two companies should be able to sell more than the two individual companies could have sold. Amazon's acquisition created a competitive advantage through __________.
building synergy
Which of the following is an example of a way in which Mi Ola uses core competence to achieve competitive advantage? Check all that apply.
- Helena Fogarty has many years of experience in different aspects of the fashion industry. - An avid surfer, Helena Fogarty is personally aware of what Mi Ola's customers need in a swimsuit.
Mi Ola's managers meet to develop the company's strategy. One of the first things they do is a SWOT analysis. Which of the following would be an opportunity for Mi Ola? Check all that apply.
- Mi Ola partners with an environmental organization to protect the coral reefs and other ocean life off Australia's Gold Coast, a popular surfing destination. - Mi Ola's new line is featured in the magazines Seventeen, Elle, and Monthly Fashion.
When formulating strategy, Mi Ola's managers scan the business environment for factors that will or could impact the company's competitive advantage. Which of the following would pose a threat to Mi Ola? Check all that apply.
- Unlike most clothing brands, Mi Ola contracts with U.S. factories to supply its fabric and manufacture the garments, incurring greater costs than competitors who source from overseas factories. - Several top professional women surfers state in interviews that they feel one-piece swimsuits are much sexier than bikinis, as well as more practical.
As the Board of Governors of the American Red Cross considers planning, one option is to make strategic plans and then direct managers to align tactical and operational plans accordingly. Another option is to have planning specialists help managers across the organization make their own plans. Why might this organization's executives opt for the latter approach? (Check all that apply.)
- When managers come up with their own plans, they are likely to be more committed to following through on them. - The environment is a dynamic one, and department and frontline managers can come up with more responsive plans than can central leadership.
Before any digging takes place on someone's property, it is important that all underground electrical wires, cable wires, water/sewer pipes, and gas mains have been marked. Marking prevents the digger from accidentally encountering these underground hazards. A state has set up a hotline for people to call before they dig. The manager overseeing the hotline knows that if callers are kept on hold for very long, they may hang up and begin excavation without getting their property marked. Therefore, keeping wait times down is important. To achieve this objective by the beginning of the busy summer construction and gardening season, the manager has decided to use management by objectives (MBO). A. On April 1, the manager sees that nine contingent call center workers have been hired and completed training. On June 30, call center data show 5 percent of calls are on hold for more than 90 seconds. B. A pool of twelve contingent call center workers who work at home will be hired and trained before April 15. These employees can be activated anytime hold times threaten to exceed 90 seconds. C. On September 30, the manager reports that call center hold times for the summer construction season averaged 42 seconds, with 30 percent of all calls not being put on hold at all but 2 percent of calls exceeding 90 seconds of hold time. The plan is rated mostly successful. D. Based on data on how long people wait before hanging up, the manager decides the maximum time on hold should be 90 seconds.
A. Reviewing progress B. Developing an action plan C. Appraising performance D. Setting a goal
When conducting a SWOT analysis, information about turnover, profit margins, and staff quality can be used to identify:
Company strengths and weaknesses
In discussing inventory, Helena mentions that bikinis for sale on the website are not always in stock. Say customer feedback indicates that when a customer's bikini won't arrive within two weeks, that customer usually cancels their order. Furthermore, retail stores ordering restocks of items usually find another supplier if Mi Ola cannot ship within two weeks. What would be the best action for Helena to take first?
Decide that when online customers and retail stores order bikinis, they will never have to wait more than two weeks for the order to arrive.
A tropical fish hobbyist store allows customers to trade in plants that overgrow their aquariums for store credit. Since customers know they will eventually get at least part of their purchase price back as their plants grow, they are happy to buy plants from the store rather than online, and when they are in the store, they usually see some fish and supplies they want as well.
Deliver value
By serving somewhat smaller portions, a French-style bakery is able to offer award-winning pastries and craft breads for the same price customers would pay for less deluxe fare at a grocery store. Since most of the store's clientele are health conscious, they actually prefer the smaller portions.
Deliver value
After he finishes celebrating with his team, Bruce Bochy, the manager of the 2014 World Series Champion San Francisco Giants, is going to do a SWOT analysis to determine his strategy for the upcoming baseball season. Help him figure out how he should classify the following information. Which of the following factors should be classified as a threat for the team?
During the off-season, the Los Angeles Dodgers signed players whose skills match or exceed those of the Giants' players.
Tana French's first novel, the literary police procedural In the Woods, won multiple awards when it appeared in 2007. Since then she has produced four more books, all mysteries set in and around Dublin, Ireland, and each has garnered critical acclaim and climbed bestseller lists. No other novels blend a literary writing style, the use of setting as a character, and the tropes of the detective genre in the same way.
Exploit core competencies
The ability of employees to create innovative products is critical for companies that adopt a low-cost leadership strategy. True or false?
False
When using a focus strategy, a company tries to create a product that will appeal to the broadest possible customer base. True or false?
False
Any veteran that asks me for a dog will have one within one month of the request.
Goal
I can get dogs from the pound. There are so many abandoned animals, it will be quicker, less expensive, and easier than trying to get dogs from breeders.
Plan
I'll train the dogs myself. That way, I can have them ready for placement more quickly.
Plan
Considering all of the factors listed in the preceding SWOT analysis question, what strategy would make the most sense for the Giants in the upcoming season?
Sign a free-agent outfielder to bolster the current roster and sign the current pitchers to long-term contracts.
Dave Nofgren and Betsy Muller-Nofgren run Kozy Korner, a bed-and-breakfast near Big Lake and several other lakes that are popular fishing spots. The mission of Kozy Korner is to be the most comfortable, most convenient place to stay in the Big Lake area. Dave and Betsy feel very fortunate to have been able to make a living doing something they love: meeting interesting guests and living by the lake. There are two tourist seasons in the Big Lake area, one in the summer for open-water fishing and another in the winter for ice fishing. The higher the occupancy rate, the more profitable Kozy Korner is. Empty rooms mean lower profits. For the past several years, Kozy Korner has experienced an average 80 percent occupancy in the summer and 60 percent occupancy in the winter. Dave and Betsy are setting goals and making plans for their business. In some years, weather patterns have caused there to be few fish in local lakes, and anglers have gone elsewhere. Also, invasive carp are threatening the lakes and may someday cause fish stocks to drop indefinitely. How should these facts impact Dave and Betsy's planning?
They should develop a contingency plan in case few anglers book rooms.
Helena mentions that she might "allocate one-third of the revenue that I get from e-commerce into the cost for e-commerce." Which of the following accurately describes this statement?
This is a tactical plan.
A company that actively tries to become more efficient is likely to be pursuing a cost leadership strategy. True or false?
True
A company that creates a distinctive product is likely to use a differentiation strategy. True or false?
True
A company that strictly controls expenses is likely to use a low-cost leadership strategy. True or false?
True
Companies that use a focus strategy have narrow buyer groups. True or false?
True
Differentiation strategies can reduce the bargaining power of large customers. True or false?
True
At a company located in California, the management team engages in __________ to develop detailed plans in case of a devastating earthquake.
crisis planning
In the video, Helena mentions that "your plans are always going to change from day to day" because the business environment changes. She should consider __________ to gain more stability in her planning process.
developing contingency plans
When Clara began measuring the depth and quality of relationships salespeople developed with customers, she was practicing __________ , putting more emphasis on the processes used to make sales than on the sales goals themselves.
management by means
Julio used __________ when he set goals, developed action plans, reviewed progress and took corrective action as needed, and appraised performance.
management by objectives
Typically set by frontline managers, __________ are the precise, measurable outcomes expected from departments, work groups, and individuals.
operational goals
When referring to a SWOT analysis, the letter O stands for __________ , and it refers to factors that are __________ to the organization.
opportunities, external
A __________ specifies the way in which an outcome will be achieved and can include the actions to be taken, the resources to be used, and the time frame for accomplishment.
plan
Kaila, the owner of a costume shop, has a three-year strategic goal to serve 15 percent more customers and increase margins by 5 percent. To achieve this goal, she will lease the retail space next door. When she signs the lease and pays to remodel the space, this is an example of __________.
strategy execution
To envision the full range of emergencies or setbacks their organization could experience, managers engage in __________ , envisioning possible future events that might be disruptive.
scenario building
Making decisions and taking actions to achieve a superior fit between the organization and its environment is __________.
strategic management
A firm's __________ is the plan of action that describes resource allocation and activities for dealing with the environment, achieving a competitive advantage, and attaining the organization's goals.
strategy
When referring to a SWOT analysis, the letter S stands for __________ , and it refers to factors that are __________ to the organization.
strengths, internal
When referring to a SWOT analysis, the letter W stands for __________ , and it refers to factors that are __________ to the organization.
weaknesses, internal
