Exam 2: Charting a Companys Direction: Its Vision, Mission, Objectives, Andstrategy

A) knowing when to replace poorly performing subordinates and when to do a better job of coaching them to do the right things.
B) being able to discern whether to promote better achievement of strategic performance targets or whether to promote better achievement of financial performance targets.
C) deciding when adjustments are needed and what adjustments to make.
D) having the analytic skills to separate the problems due to a bad strategy from the problems due to bad strategy execution.
E) deciding whether the company would be better off making adjustments that curtail the achievement of strategic objectives or that curtail the achievement of financial objectives.

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A) Hiring and firing senior-level executives and working with the company's chief strategic planning officer to improve the company's strategy when performance comes up short of expectations
B) Being inquiring critics and exercising strong oversight over the company's direction, strategy, and business approaches
C) Evaluating the caliber of senior executives' strategy-making/strategy-executing skills
D) Instituting a compensation plan for top executives that rewards them for actions and results that serve stakeholders' interests, most especially those of shareholders
E) Overseeing the company's financial accounting and financial reporting practices

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Financial objectives communicate managem...

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A) concern the actions, approaches, and practices to be employed in managing particular functions within a business.
B) specify what actions a company should take to resolve specific strategic issues and problems.
C) are normally crafted by operating-level managers.
D) are concerned with how to unify the firm's several different operating strategies into a cohesive whole.
E) are normally crafted by the company's CEO and other senior executives.

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A) Increase earnings per share by 15 percent annually.
B) Gradually boost market share from 10 percent to 15 percent over the next several years.
C) Achieve lower costs than any other industry competitor.
D) Boost revenues by a percentage margin greater than the industry average.
E) Maximize total company profits and return on investment.

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A) Too specific and too flexible
B) Unrealistic, unconventional, and un-businesslike
C) Too broad, vague or incomplete, bland/uninspiring, not distinctive, and too reliant on superlatives
D) Too graphic, too narrow, and too risky
E) Not customer-driven, out of step with emerging technological trends, and too ambitious

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A) Increase revenues by more than the industry average.
B) Be among the top five companies in the industry in customer service.
C) Overtake key competitors on product performance or quality within three years.
D) Improve manufacturing performance by 5 percent within 12 months.
E) Obtain 150 new customers during the current fiscal year.

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A) whether and to what extent it intends to operate in an ethical and socially responsible manner.
B) how aggressively it will seek to maximize profits and enforce high ethical standards.
C) the beliefs and operating principles built into the company's "balanced scorecard" for measuring performance.
D) the beliefs, traits, and behavioral norms that company personnel are expected to display in conducting the company's business and pursuing its strategic vision and mission.
E) the beliefs, principles, and ethical standards that are incorporated into the company's strategic intent and business model.

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A) inspiring company personnel to unite behind managerial efforts to get the company moving in the intended direction.
B) helping company personnel understand why "making a profit" is so important.
C) making it easier for top executives to set stretch objectives.
D) helping lower-level managers and employees better understand the company's business model.
E) helping the management in formulating a balanced scorecard.

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A) pay attention to early warnings of future change and be willing to experiment to establish a market position in the future.
B) stay abreast of the changes by developing a comprehensive knowledge management system to monitor the environment.
C) establish controls to ensure the impact of any changes is monitored appropriately and ensure the internal environment is maintained.
D) align their decision-making with organizational unit objectives.
E) develop financial objectives that reflect the implications of change and that meet the internal environment's functional focus.

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A) Helping to avoid mediocre results
B) Pushing company personnel to be more inventive and innovative
C) Helping clarify the company's strategic vision and strategic intent
D) Helping a company be more focused and intentional in its actions
E) Spurring exceptional performance and helping build a firewall against contentment with modest performance gains

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A) Developing a proven business model
B) Deciding how much of the company's resources to employ in the pursuit of sustainable competitive advantage
C) Setting objectives and using them as yardsticks for measuring the company's performance and progress
D) Communicating the company's values and code of conduct to all employees
E) Deciding on the company's strategic intent

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A) charts a strategic course for the organization ("where we are going") and provides a rationale for why this directional path makes good sense.
B) describes in fairly specific terms the organization's strategic objectives, and strategy.
C) spells out how the company will become a big moneymaker and boost shareholder value.
D) addresses the critical issue of "why our business model needs to change and how we plan to change it."
E) spells out the organization's strategic intent and the actions and moves that will be undertaken to achieve it.

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Strategic vision: A strategic vision del...

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A) details key objectives and the strategy for achieving them.
B) lays out its future direction and business purpose, performance targets and strategy.
C) identifies the company's strategy and management's specific, detailed plans for implementation.
D) consists of a company's strategic vision, strategic objectives, strategic intent, and strategy.
E) summarizes the company's strategic vision, a strategy, and a business model.

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A) Developing a strategic vision, setting objectives, and crafting a strategy
B) Developing a proven business model, deciding on the company's strategic intent, and crafting a strategy
C) Setting objectives, crafting a strategy, implementing and executing the chosen strategy, and deciding how much of the company's resources to employ in the pursuit of sustainable competitive advantage
D) Coming up with a statement of the company's mission and purpose, setting objectives, choosing what business approaches to employ, selecting a business model, and monitoring developments
E) Deciding on the company's strategic intent, setting financial objectives, crafting a strategy, and choosing what business approaches and operating practices to employ

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A) it assists managers in putting roughly equal emphasis on short-term and long-term performance targets.
B) it entails putting equal emphasis on good strategy execution and good business model execution.
C) a balanced-scorecard approach pushes managers to avoid setting objectives that reflect the results of past decisions and organizational activities.
D) financial performance measures are lagging indicators that reflect the results of past decisions and organizational activities, whereas strategic performance measures are leading indicators of a company's future financial performance and business prospects.
E) it forces managers to put equal emphasis on financial and strategic objectives.

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