Chapter 9 - Corporate Planning and Implementation

Question 1

Corporate Plan

Answer 1

A plan containing details of a business’s central objectives and strategies to achieve them.

Question 2

Corporate Planning

Answer 2

The process used by companies to set long-term plans to meet certain objectives, such as business growth and higher return on capital employed.

Question 3

Internal Factors Influencing Corporate Plan

Answer 3

1) Financial Resources
2) Operating Capacity
3) Managerial Skills and Experience
4) Employee Numbers and Skills
5) Culture of Organisation

Question 4

External Factors Influencing Corporate Plan

Answer 4

1) Macro Economic Conditions
2) Central Bank and government Economic Policy Changes.
3) Likely Technological Changes
4) Competitors Actions

Question 5

Corporate Culture

Answer 5

The values, attitudes and beliefs of the people working in an organisation that affect the way they interact with each other, and with external stakeholders.

Question 6

Power Culture

Answer 6

A Culture that concentrates power among just a few people.

Question 7

Role Culture

Answer 7

A culture in which each member of staff has clearly defined job title and role.

Question 8

Task Culture

Answer 8

A Culture based on cooperation and teamwork.

Question 9

Person Culture

Answer 9

A Culture in which individuals are given the freedom to express themselves fully and make decisions for themselves.

Question 10

Entrepreneurial Culture

Answer 10

A culture that encourages management and workers to take risks, to come up with new ideas and test out new business ventures.

Question 11

Changing Corporate Culture

Answer 11

1) A traditional family firm
2) Product Led Business
3) Recently privatized business
4) A takeover
5) Declining profits and market share

Question 12

Transformational Leadership

Answer 12

The leader works with teams to identify the need for change, creates a vision to inspire people to accept change and implements change with the cooperation of the team.

Question 13

Change Management

Answer 13

Planning, Implementing, Controlling and Reviewing the movement of an organisation from its current state to a new one.

Question 14

Business process re-engineering

Answer 14

Fundamentally rethinking and redesigning the process of a business to achieve a dramatic improvement in performance.

Question 15

Project Champion

Answer 15

A person appointed to support a project and drive it forward by explaining the benefits of change and assisting and supporting the team putting change into practice.

Question 16

Project Groups

Answer 16

Groups created by an organization to address a problem that requires input from different specialists.

Question 17

Promoting Change

Answer 17

1) Establish a sense of urgency
2) Create an effective project team to lead the change
3) Develop a vision and a strategy for change
4) Communicate this change vision
5) Empower people to take action
6) Generate short-term gains from change that benefit as many people as possible
7) Consolidate these gains and produce even more change
8) Build change into the culture of the organization so that it becomes a natural process.

Question 18

Resistance To Strategic Change

Answer 18

1) Fear of the Unknown
2) Fear of Failure
3) Losing something of value
4) False beliefs about the need for change
5) Lack of trust
6) Inertia

Question 19

Contingency Plan

Answer 19

A plan for preparing an organisation’s resources for unlikely events

Question 20

Crisis Management

Answer 20

The process of dealing with a sudden emergency event

Question 21

Continuity Planning

Answer 21

Preparing resources so that the business can continue operations after a major crisis.