Exam 2

Question 1

Corporate Strategy

Answer 1

Talks about broad issues

Question 2

Business Strategy

Answer 2

How awe are going to compete

Question 3

SWOT

Answer 3

Strengths, Weaknesses, Opportunities, Threats

Question 4

TOWS

Answer 4

SWOT backwards. Helps with development of actions steps

Question 5

Five forces (Porter)

Answer 5

1. How much rivalry is there in the industry?
2. What are the barriers/difficulties of getting into the industry?
3. Suppliers
4. Buyers
5. Other Products

Question 6

VRIO

Answer 6

Valuable, Rare, Inimitable, Organization

Question 7

Approach: Broad Market

Answer 7

1. Differentiation

2. Cost Leadership

Question 8

Cost Leadership

Answer 8

Producing the least expensive product

Question 9

Approach: Narrow Market

Answer 9

1. Focused Differentiation

2. Focused Cost Leadership

Question 10

Value Chain:

Answer 10

1. Product Focused
   
   2. Process Focused
   3. Fixed Position Layout

Question 11

Why Project Profiling?

Answer 11

1. Better understanding
2. Develop execution plan
3. Allocate resources
4. Helps identify skills and experiences of the people

Question 12

How might projects differ?

Answer 12

• Size
  
  • Time
  • Location
  • Complexity
  • Risk
  • Time Pressure

Question 13

Darnell-Preston Complexity Index

Answer 13

Scale 1-4:

• External
  
  • 1-Similar to others, 4-never completed project this size
• Internal
  
  • 1-Simple, few people, 4-Complicated, many people
• Technology
  
  • 1-Technology not new, familiar, 4-technology new, untested, unfamiliar
• Environmental
  
  • 1-no legal issues, 4-multiple legal issues

Question 14

Project Phases:

Answer 14

Initiation Phase
Planning
Execution
Closeout

Question 15

Initiation Phase (Skills needed)

Answer 15

Conceptual Skills

Team Building Skills

Question 16

Planning (Skills Needed)

Answer 16

Organization Skills
Planning Skills
Leadership Skills

Question 17

Execution (Skills Needed)

Answer 17

Leadership Skills

Question 18

Closeout (Skills Needed)

Answer 18

Controlling Skills

Question 19

3 ways to fund a project

Answer 19

1. Commercial Paper (B2B) Loan
2. Sell more shares of stock to raise money
3. Savings (retained earnings)

Question 20

Costs of each project funding method

Answer 20

1. Borrowing-Interest rates
2. Savings-Can’t hire as many people or give raises
3. Selling Stock-lowers value of stock, decrease of company worth, more dividends payable

Question 21

Techniques to determine cost/benefit analysis

Answer 21

1. Payback-when will we pay back then exceed original investment?
2. IRR-Internal Rate of Return-Calculates the percent return of the money invested

Question 22

IRR

Answer 22

Internal Rate of Return

Question 23

Communication Matrix; What’s the legend?

Answer 23

A-Approval
R-Review and Comment
I-Inform

Question 24

Organizational Structure

Answer 24

1. Centralization
2. Formalization
3. Hierarchical Level
4. Span of Control
5. Departmentalization

Question 25

Centralization

Answer 25

Keeps all decision making at the top level

Question 26

Formalization

Answer 26

How clearly the rules and regulations are defined. Very Structured Business.

Question 27

Hierarchical Level

Answer 27

more managerial levels, order of importance, Tall vs flat

Question 28

Span of Control

Answer 28

how many people your in control of.

Question 29

Two configurations of organizational structure

Answer 29

1. Mechanistic-Product | 2. Organic-Process

Question 30

Departmentalization

Answer 30

Functional; similar tasks, similar skills

Question 31

4 ways to Divide teams:

Answer 31

1. Product-groups based on product line 2. Market-groups based on customers 3. Geographic-groups based on location 4. Matrix-cross functional teams, online and locational teams

Question 32

Network Structure (Modular)

Answer 32

1. Design 2. Manufacture 3. Shipped 4. Sales

Question 33

Strategic Alliance

Answer 33

Two companies work together to create a product

Question 34

Boundary-less Organizations

Answer 34

working with various companies with different strengths

Question 35

Learning Organizations

Answer 35

Schools