Chp 14 Flashcards
(33 cards)
What is the purpose of the balanced scorecard?
a) Link long-term goals to short-term actions
What types of metrics does the balanced scorecard use?
b) Both lead and lag metrics
What does the balanced scorecard connect?
b) Competitive and financial performance to short-term actions
What is a lead metric in the balanced scorecard?
a) Employee actions predicting results
What is a lag metric in the balanced scorecard?
b) Results of completed actions
How does the balanced scorecard use causal logic?
a) It maps cause-effect relationships between actions and results
What is the benefit of using a balanced scorecard?
b) Provides a holistic view of performance across stakeholders
What is the purpose of the 7-S framework?
a) Align key organizational dimensions
What are the seven elements of the 7-S framework?
a) Strategy, structure, systems, style, skills, staff, shared values
In the 7-S framework, what does ‘strategy’ refer to?
b) The plan for competitive advantage
In the 7-S framework, what does ‘structure’ refer to?
a) Company’s organizational design
In the 7-S framework, what does ‘systems’ refer to?
a) IT and operational processes
In the 7-S framework, what does ‘style’ refer to?
a) Leadership and culture
In the 7-S framework, what does ‘skills’ refer to?
a) Employee competencies
In the 7-S framework, what are ‘shared values’?
a) Core company beliefs guiding behavior
How is the 7-S framework best used?
a) To align strategy with all organizational dimensions
What are the five keys to successful strategy implementation?
a) Fit, clear objectives, incentives, top management involvement, resource allocation
What does strategy implementation begin with?
b) Mission and vision
What follows after mission and vision in strategy implementation?
a) Strategic initiatives and relevant value chain activities
What is a single company currency for incentives?
a) A unifying incentive system
What is the purpose of effective metrics?
a) To tie performance to mission/vision and monitor progress
What are characteristics of effective metrics?
a) Tied to mission, balanced, both qualitative/quantitative, function-appropriate, linked to incentives
What is a lead metric?
a) Observable employee actions that lead to desired outcomes
What is a lag metric?
b) Results we expect to observe for each sub-dimension
