Strategic Management & Planning

Question 1

The purpose of _____ is to set goals and decide on the courses of action that will be used to achieve them.

Answer 1

planning

Question 2

A business plan is a document that outlines

Answer 2

a proposed firm’s goals, strategy for achieving them, and standards for measuring success.

Question 3

A firm’s business _______ should include a description of the need the firm will fill, the operations of the firm, its components and functions, and the expected revenues and expenses.

Answer 3

model

Question 4

A business strategy, also known as a strategic _____, sets the long-term goals and direction for an organization.

Answer 4

plan

Question 5

In the strategic management process, the organization’s strategies and strategic goals are formulated and implemented using

Answer 5

managers from all parts of the organization

Question 6

The document that details how a company’s goals are to be met is called a(n)_____.

Answer 6

plan

Question 7

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 _______.

Answer 7

business plan

Question 8

True or false

One reason a company might create a bad strategic plan is because it might make incorrect assumptions about what will happen in the market going forward.

Answer 8

True

Question 9

Select all that apply

Which three things should be included in a firm’s business model?

Answer 9

The firm’s marketing strategy, a description of the industry the firm is entering and expected revenues and expenses.

Question 10

A company’s strategy can best be described as a(n) _______ about what long-term goals or direction to pursue for the survival or prosperity of the organization.

Answer 10

educated guess

Question 11

Strategic _____ is a process that involves managers from all levels of the organization in the formulation and the implementation of strategies and strategic goals.

Answer 11

management

Question 12

According to management scholar Gary Hamel, companies like Apple have succeeded because their spirit of _____ has allowed them to reinvent the basis of competition within an existing industry.

Answer 12

strategy innovation

Question 13

The _______ process helps us to cope with uncertainty by formulating future courses of action designed to help achieve specified results.

Answer 13

planning

Question 14

An organization has a sustainable competitive advantage when it can, for an extended period of time,

Answer 14

produce goods and services more effectively than its competitors do.

Question 15

Without having a plan in place, managers may focus only on _____ instead of keeping a long-range view and anticipating new opportunities.

Answer 15

whatever is in front of them.

Question 16

An organization’s _____ is the purpose of the organization.

Answer 16

mission

Question 17

The company’s mission statement tells us

Answer 17

the company’s reason for being.

Question 18

Strategic planning can help encourage new ideas by stressing the importance of ______ in achieving long-range success.

Answer 18

innovation

Question 19

The vision statement should answer which of these questions?

Answer 19

What do we want to become?

Question 20

An organization’s ability to produce goods or services more effectively than its competitors is referred to as its

Answer 20

competitive advantage

Question 21

Select all that apply

A company’s values statement expresses which of the following things?

Answer 21

what its products contribute to the world
the values its employees embody
what the company stands for
the company’s core priorities

Question 22

An organization’s vision represents

Answer 22

where the organization wants to go.

Question 23

Strategic planning is done by _____ managers.

Answer 23

top

Question 24

The _____ statement expresses the purpose of an organization.

Answer 24

mission

Question 25

A company's _____ statement should provide a clear sense of the future and the actions needed to get there.

Answer 25

vision

Question 26

Organizations use _____ planning to determine what contributions the departments or work units can make toward the organization's strategic priorities and policies during the next 6 -- 24 months.

Answer 26

tactical

Question 27

A _____ statement expresses what the company stands for, its core priorities and what its products contribute to the world.

Answer 27

values

Question 28

\_\_\_\_\_\_\_\_\_ planning is used to determine how to accomplish specific tasks with available resources within the next 1 -- 52 weeks.

Answer 28

operational

Question 29

# Select all that apply Strategic planning:

Answer 29

requires visionary and directional thinking should communicate general goals and ways to achieve them

Question 30

Match the level of management with the type of planning for which it is typically responsible. a. top management b. middle management c. first-line management

Answer 30

top management - strategic planning middle management - tactical planning first-line management - operational planning

Question 31

In business, a specific commitment to achieve a measurable result within a stated period of time is called a \_\_\_\_\_.

Answer 31

goal

Question 32

Who is responsible for tactical planning?

Answer 32

middle management

Question 33

A means-end chain is used in planning to show \_\_\_\_\_.

Answer 33

how goals are connected across an organization.

Question 34

A(n) ________ provides a guide for a company's long-term goals.

Answer 34

strategic plan

Question 35

First-line managers are typically responsible for performing ______ planning within the organization.

Answer 35

operational

Question 36

# Select all that apply Short-term goals

Answer 36

are connected to strategic goals are also known as tactical or operational goals

Question 37

Drag and drop the time frames of different types of planning against the corresponding types of planning. a. strategic planning b. tactical planning c. operational planning

Answer 37

strategic planning - 1 to 5 years tactical planning - 6 to 24 months operational planning - 1 to 52 weeks

Question 38

# Select all that apply Operating plans:

Answer 38

turn strategic plans into actionable short-term goals break long-term output into short-term targets or goals

Question 39

What are the two types of goals in business?

Answer 39

long-term and short-term

Question 40

A(n) ______ plan defines the course of action a company should follow to achieve the stated goal.

Answer 40

action

Question 41

Short-term (tactical) goals are connected to long-term (strategic) goals in a hierarchy called the \_\_\_\_\_\_\_.

Answer 41

means-end chain

Question 42

# Select all that apply Which of the following are true of long-term goals?

Answer 42

Span 1 to 5 years, focus on achieving the strategies identified in the company's strategic plan, and are also referred to as strategic goals.

Question 43

A _____ plan is developed for activities that occur repeatedly over time.

Answer 43

standing

Question 44

Tactical goals are considered \_\_\_-term goals.

Answer 44

short

Question 45

It is the function of the _____ to take the strategic plan and develop actionable short-term goals that a business can achieve.

Answer 45

operating plan

Question 46

An action plan

Answer 46

outlines the tactics that will be used to achieve a goal.

Question 47

Drag and drop the descriptions of each type of plan against the corresponding types of plans. a. standing b. policy c. procedure d. rule e. single-use f. program g. project

Answer 47

a. standing: for activities that occur repeatedly over time b. policy: outlines general response to a designated problem c. procedure: outlines response to particular circumstances d. rule: designates specific required action e. single-use: for activities not likely to be repeated in the future f. program: encompasses a range of projects or activities g. project: has less scope and complexity than a program

Question 48

A means-end chain is used in planning to show \_\_\_.

Answer 48

how goals are connected across an organization.

Question 49

A _____ goal is one that is specific, measurable, attainable, results-oriented, and has target dates.

Answer 49

SMART

Question 50

A _____ plan directs activity, such as a project, that is unlikely to be repeated.

Answer 50

single-use

Question 51

One of the characteristics of SMART goals is that they are stated in specific rather than vague terms. Match each goal below to indicate whether it is vague or specific. a. vague b. specific

Answer 51

Vague - As many planes as possible should arrive on time. Specific - 90% of plans should arrive within 15 minutes of their scheduled arrival time.

Question 52

The "measurable" aspect of a SMART goal refers to its ability to be \_\_\_\_\_.

Answer 52

quantified

Question 53

A _____ plan outlines the general response to a designated problem or situation.

Answer 53

policy

Question 54

Goals that are challenging but are realistic and achievable within the scope of the resources available to a company satisfy which aspect of SMART goal criteria?

Answer 54

attainable

Question 55

SMART goals are

Answer 55

specific, measurable, attainable, results-oriented, and target dates

Question 56

When stating a goal, it is a good idea to start with the word "To" and follow with an action-oriented verb such as "increase" or "acquire." This describes the _____ aspect of SMART goals.

Answer 56

results-oriented

Question 57

A _____ plan is developed for activities that occur repeatedly over time.

Answer 57

standing

Question 58

# Select all that apply Which two goals meet the SMART goal characteristic of specifying a target date?

Answer 58

File tax return by April 15 Increase sales by the end of the 1st qtr

Question 59

The letter S in the acronym SMART goal stands for what aspect of a good goal?

Answer 59

specific

Question 60

Management by ______ is a four-step process in which managers and employees jointly set objectives, develop action plans, review performance, and appraise and reward employees.

Answer 60

objectives

Question 61

# Select all that apply Which of these represent measurable goals?

Answer 61

No more than 50% of cars should be sold below MSRP. Customer service agents should improve customer relations by making 10 follow-up calls each week.

Question 62

What is the first step in management by objectives?

Answer 62

managers and employees jointly set objectives for the employee

Question 63

In the terms of SMART goals an "attainable" goal is \_\_\_.

Answer 63

challenging but achievable

Question 64

Match the type of objective used in MBO with its focus. a. performance objective b. behavioral objective c. learning objective

Answer 64

a. performance objective - express the objective as an outcome or end-result b. behavioral objective - express the objective as the behaviors needed to achieve an outcome c. learning objective - express the objective in terms of acquiring knowledge or competencies

Question 65

# Select all that apply Which of the following verbs would be appropriate for a results-oriented goal?

Answer 65

complete, acquire, or decrease

Question 66

# Select all that apply Which of the following are reasons that employers value a proactive learning orientation?

Answer 66

It helps drive employee creativity and innovation. Employees need to refine and enhance their skill sets throughout their careers.

Question 67

The management team gave the IT department until October 15 to complete the software installation. Which aspect of SMART goals does this deadline demonstrate?

Answer 67

Target dates

Question 68

The purpose of management by objectives (MBO) is to ______ subordinates.

Answer 68

motivate

Question 69

What is the second step in management by objectives?

Answer 69

Employees are encouraged to develop an action plan.

Question 70

Managers and subordinates jointly setting subordinate objectives is the _____ step in management by objectives.

Answer 70

first

Question 71

The manager and employee periodically reviewing the employee's performance represents the _____ step in management by objectives.

Answer 71

third

Question 72

# Select all that apply Which of these are types of objectives used in management by objectives (MBO)?

Answer 72

performance, learning, and behavioral

Question 73

Managers and subordinates meeting to appraise performance, discuss results, and allocate rewards is the _____ step in management by objectives.

Answer 73

fourth

Question 74

A(n) _____ learning orientation represents the desire to learn and improve one's knowledge, soft-skills, and other characteristics in pursuit of personal development.

Answer 74

proactive

Question 75

Match the criteria for successful goal setting with their correct descriptions. a. Top and middle management must be committed b. Goals must be applied organization-wide c. Goals must cascade

Answer 75

**a. Top and middle management must be committed** Average gains in productivity are significantly higher when there is buy-in to the goal-setting process from upper levels of management **b. Goals must be applied organization-wide** The goal-setting program cannot be applied in only some divisions or departments; it must be in place throughout the whole company **c. Goals must cascade** The strategic goals set at the top must align downward with more specific, short-term goals set at lower organizational levels

Question 76

Employees preparing action plans represents the _____ step in management by objectives.

Answer 76

second

Question 77

What would occur in the third step of management by objectives?

Answer 77

You and your manager meet to review progress

Question 78

Cascading goals is the process of \_\_\_\_\_.

Answer 78

ensuring that strategic goals at the top align with the short-term goals set at the lower levels in the organization

Question 79

The fourth and final step in management by objectives involves \_\_\_\_\_.

Answer 79

the manager making a performance appraisal and rewarding the employee according to the results

Question 80

# Select all that apply What are two advantages for a company that establishes deadlines?

Answer 80

Deadlines aid in making quicker decisions and motivate employees to focus on the goal.

Question 81

# Select all that apply You can use the continuous feedback loop known as the _____ cycle to ensure you're headed in the right direction once you've made plans.

Answer 81

planning/control

Question 82

# Select all that apply For goal setting to be successful, what must occur?

Answer 82

Goals must cascade through the organization. Top management must be highly committed. Goals must be applied organization wide.

Question 83

Making the plan and carrying out the plan represent the two _____ steps in the planning/control cycle.

Answer 83

planning

Question 84

In which phase of the planning/control cycle does a company have the opportunity to get a project back on track if it is failing to meet assigned objectives?

Answer 84

Step 4 - Control the direction by taking corrective action

Question 85

The process of ensuring that the strategic goals set at the top align with more specific short-term goals at lower organizational levels is known as _____ goals.

Answer 85

cascading

Question 86

\_\_\_\_\_ help us to stay focused on the big picture, concentrate and make quicker decisions rather than putting them off, and ignore unimportant matters.

Answer 86

deadlines

Question 87

Place the steps of the planning/control cycle in the correct order, with step one listed first (at the top) and step four listed last (at the bottom).

Answer 87

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

Question 88

# Select all that apply The two **planning** steps in the planning/control cycle involve \_\_\_\_\_.

Answer 88

Making the plan Carrying out the plan

Question 89

# Select all that apply What are the two *control* steps in the planning/control cycle?

Answer 89

Control the direction by comparing results with the plan. Control the direction by taking corrective actions.