Top management teams (TMTs) - comprising the most influential executives in an organization - are important because of their influence over strategic choices and performance. shareholders, management, and the board of directors. c. is mainly intended to emotionally inspire employees and other stakeholders. Between 2008 and 2010, Apple filed more than 350 cases with the US Patent and Trademark Office to protect its use of such terms as apple, pod, and safari (Apple Inc.). A vision statement can lead to missed opportunities when it ______. (Check all that apply.). Explain the difference between negative reinforcement and punishment, and provide several All of the following are resources of an organization except: All of the following are assumptions of the resource-based model except: capabilities are highly mobile across firms. Which of the following are reasons vision statements sometimes fail? examples of each based on your own experiences. As this title implies, Sun Tzu emphasized the creative and deceptive aspects of strategy. b. an important source of competitive advantage in virtually all industries. If the company is properly implementing its strategy results should be as expected in . Follow this guide to create and implement an effective strategic management plan: Clarify your vision. The 5 stages of the strategic management process. According to Hitt, the final responsibility for forming the organization's mission lies with the: A key purpose of a mission statement is to inform___ what a firm is, what it seeks to accomplish, and who it seeks to serve. a. telephone vision. A core competence a. the businesses in which the company intends to compete. In order to cope with hyper competition, firms need to develop ___ through continuous learning. Figure 1.8: Shirinsokhan, Mahmoudreza. d. products that were not imitated by competitors. To have the potential to become sources of competitive advantage, resources and capabilities must be non- substitutable, valuable, , and In a diversified firm, corporate-level strategy is concerned with The firm's ___ provide the foundation for choosing one or more ___ and deciding how to implement them. The modern competitive environment requires an iterative approach to strategic management where execution informs planning and planning guides execution. d. focus on innovation. Your mission statement. Financial markets often place an emphasis on managers meeting ______ performance goals. McDonald's has been able to a. earn above-average returns. b) The process of strategic management requires that strategists lay down the objectives of the organization and then formulate the strategies to achieve them. d. Revenue. The profit pool is the Strategic management is the effective handling of a firm's resources to achieve its set objectives and goals. This involves developing specific strategies and actions. d. a school board lacking in core competencies. d. sustainable market niche. Strategic competitiveness is achieved when a firm successfully formulates and implements a value-creating strategy. Strategic Management Process [Video]. Knowledge is composed of all of the following(expertise, information, intelligence) except: Which of the following statements about organizational knowledge is correct? c. the CEO, COO, and CFO only. b. rapid technological diffusion. Describe whether each of the following statements makes sense (or is clearly true) or does not make sense (or is clearly false). All of the following are assumptions of the I/O model except: resources to implement strategies are firm-specific and attached to firms over the long term. a. CEO. a. the social energy that drives, or fails to drive, the organization. It involves analyzing current circumstances, developing a plan to reach important goals, and executing that plan. a. the power of the financial market stakeholders. b. innovation The culmination of the strategic management process is Devise a strategy. The culmination of the strategic management process is a. performance. b. focus on strategy formation. a. strategy, wealth, organization, and threats. c. a process directed by top . They involve balancing culture and boundaries or constraints. True/False, Hourly workers on the production line of a chicken-processing plant are considered organizational stakeholders. It improves the company's problem-solving and prevents capabilities. A company competing in a single product market has Owner/CEO, Strategy Leader. c. a process directed by top management with input from other stakeholders that seeks to achieve above- average returns for investors through effective use of the organization's resources. d. Diffusion, provides the firm with new and up-to-date skill sets, which allow it to adapt to its environment as it encounters changes. a. competitive resilience business, corporate, international, and entrepreneurial. (Check all that apply.). b. all policies and procedures used in functional departments. True/False, Resources are considered rare when they have no structural equivalent. regardless of their location in the organization, strengths, weaknesses, opportunities, threats, In the strategic management process ASP stands for. UMT360's Strategy Execution Management solution. In Chapter 2 "Assessing Organizational . c. In reporting her investment center's performance for the past 10 years, the manager of the Snack Division accounted for the depreciation of her division's assets by using an accelerated depreciation method allowed for tax purposes. c. economics. d. ability, successes, and performance. The first step in the strategic management process is to evaluate where you're going, and why. 1. Even for companies capable of succeeding in global markets, it is critical that they: remain committed to and strategically competitive in their domestic market. b. resources to implement strategies are firm-specific and attached to firms over the long-term. c. Risk In Chapter 7, Innovation Strategies, we present insights on the role innovation plays in strategy development and implementation. (B) team-based. ), Which of the following must a firm's strategy be consistent with? The ending balance in retained earnings equals: A firm's ______ assets, such as patents, are becoming increasingly important to creating a firm's competitive advantage. d. easy to implement; unique. Which of the following statements about operational effectiveness are correct? a. all resources have the potential to be the basis of sustainable competitive advantage. Strategic leaders, , often work long hours, and their work is filled with ambiguous decision situations. a. defining the boundaries of the pool. ), what business(es) should the company compete in. c. The value of knowledge as a proportion of shareholder value is increasing. Sound strategies are of no value if they ______. The message of the ad is that this firm's accountants love their work. Chapter 1 - The Strategic Management Process, Chapter 13: Sexually Transmitted Infections, Information Technology Project Management: Providing Measurable Organizational Value, Service Management: Operations, Strategy, and Information Technology, John David Jackson, Patricia Meglich, Robert Mathis, Sean Valentine, Chapter 10 /Dada/Magic Realism/Surrealism. Which of the following statements is most consistent under the I/O view? (D) inclusive. Typically, the formulation process starts with an assessment of available resources, an industry analysis to assess the competitive environment in which the company operates . Overall, strategic management is an important part of an organization's development and overall performance. ______ strategies are those organizational decisions that follow from analysis and rarely survive in their original forms. Strategic management is defined as the process of evaluation, planning, and implementation designed to maintain or improve competitive advantage . Strategic management process is a method by which managers conceive of and implement a strategy that can lead to a sustainable competitive advantage. a. operating each individual business under the corporate umbrella. 3. An assessment od strengths, weakness, opportunities and threats. c. the profitability of the industry in which the firm competes. Which of the following was fastest in penetrating 25 percent of homes in the U.S. market? ______ requires that organizations continually monitor and scan the environment and respond to threats and opportunities. How much interest was earned? b. the industry's structural characteristics have little impact on a firm's performance over time. b. team-based. b. estimating the overall size of the pool. One important element of strategy implementation entails crafting an effective organizational structure and corporate culture. The culmination of the strategic management process is: a. performance. 60; 40 When resources and capabilities serve as a source of competitive advantage for a firm, the firm has created a(n): In the resource-based model, which of the following factors would be considered a key organizational success? b. one business-level strategy. b. shareholders. How is chess relevant to the study of strategic management? d: 70: 3884478507 (C) rational. the key factor in success is choosing the correct industry in which to compete. b. television d. hypercompetition. Strategy ______ consists of decisions made by firms regarding investments, commitments, and other aspects of operations that create and sustain a competitive advantage. The SWOT is then used to formulate the strategic issue(s) that the firm must deal with as it formulates strategies. True/False, Organizational stakeholders are the firm's internal resources, capabilities, and core competencies that are used to accomplish what may appear to be unattainable goals in the competitive environment. 2 St rategy formul at ion a nd i mp leme nt ati on in t he st rat e gi c mana ge me nt p roce ss Strategic management. c. personal computer True/False, Developed countries still have major advantages in their access to information technology when compared to emerging countries because of the significant cost of the infrastructure needed for computing power. Managers must take a(n) ______ view of the organization and assess how functional areas and activities fit together so that the organization can achieve its goals and objectives. There are provisions to create, implement and appraise . a. power of each stakeholder The strategic management process consists of five steps you should perform thoroughly for the plan to be effective. c. focus on strategy implementation. a. d. expand the strategic responsibilities to all organizational stakeholders. Strategic Management can be defined as a decision-making process that leads to the development of the strategic position, i.e., which helps to determine the future sustainability and the profitability of the organization, simultaneous with the integration of managerial capabilities, responsibilities, motivation . b. What other games might help teach strategic thinking. Consequently, how managers understand and interpret the performance of their firms is often central to understanding strategy. In this latter case, performance is the result of a rare event that is itself the culmination of a long and ongoing process of daily . a. vitally important at the point where a domestic firm enters the global market. ____ is a capacity for a set of resources to perform a task or an activity in an integrative manner. 1. a. Perpetual Research shows that approximately___percent of a firm's profitability is explained by the industry in which it competes, whereas a. major suppliers of capital It assists the firm in becoming proactive, rather than reactive, to make it analyse the actions of the competitors and take necessary . a. inspired. Social responsibility is the expectation that businesses or individuals will strive to ______. d. competitive dominance. Risk in terms of financial returns reflects an investor's uncertainty about economic gains or losses that will result from a particular investment. True/False, An effective vision statement must specify the industry in which a company will operate. Retrieved from https://flic.kr/p/bPNmxi. The industrial organization (I/O) model argues that Which of the following statements about organizational knowledge is correct? c. tactic a. emphasizes that it is difficult to develop and sustain a competitive advantage based on resources alone. https://youtu.be/o0U0gwvnhek. c. vulnerability of organizational stakeholders Firms use both the ______ and ______ models. .It is well known that the elected school board of a large city engages in unethical and illegal activities involving the awarding of major contracts. economic downturns or upturns, government legislation, new technologies. b. determining how each functional department of the firm will operate. b. strategy Who makes the strategic decisions for most organizations? Determine organizational readiness. Chapter 10 Executing Strategy through Organizational Design offers ideas on how to manage these elements of implementation. The second step in the strategic management process is ______. c. strength, wealth, organization, and taxes. What is the difference between strategy formulation and strategy implementation? \text{Sales}&\text{\$850,000}\\ b. is an internally focused affirmation of the organization's financial, social, and ethical goals. b. a decision-making activity concerned with a firm's internal resources, capabilities, and competencies, independent of the conditions in its external environment. (Check all that apply.). As a result, virtually all of the assets under her control are fully depreciated. Returns can only be measured in accounting terms such as return on assets, return on equity, or return on sales. a. unions. c. companies provide a dynamic, stimulating, and rewarding work environment. c. rational. a. an hourly production employee's ability to catch subtle quality defects in products. A firm has achieved when it successfully formulates and implements a value-creating strategy. c. avoid too much managerial hubris. Measure the progress by comparing the plan against actual results. . d. hypercompetition within the industry. d. is developed by a firm before the firm develops its vision. d. unions, Organizational stakeholders are usually satisfied when b. shareholders c. capabilities are highly mobile across firms. a. committed to helping the firm create value for all stakeholder groups. ______ are a set of organizational goals that are used to operationalize the mission statement and cover a well-defined time frame. To simply put, strategy evaluation entails reviewing and appraising the strategy implementation process and measuring organizational performance. Collect and analyze information. The strategic management process is. d. All of these options are correct. Establish your planning team and schedule. a. sell their stock. In the strategic management process ASP stands for (Check all that apply. d. Organizational intelligence. All of the following are assumptions of the resource-based model EXCEPT In fact, these models complement each other in that one focuses outside the firm while the other focuses inside the firm. d. 20; 36. c. profits that are accrued when a firm earns above-average returns. a. Definition. 97.A major assumption about the strategic management process is that it is: (A) inspired. The strategic management process begins with an understanding of strategy and performance. b. achieve strategic competitiveness. True/False, A firm's mission tends to be enduring while its vision can change in light of changing environmental conditions. c. the external environment is assumed to impose pressures and constraints that determine the strategies that result in above-average returns. 1. The strategic management process is essentially a set of steps a leader can use to help achieve better business outcomes. A firm's vision, mission, and strategic objectives are used to develop specific goals, which form the basis for its ______. The two primary drivers of hyper-competition are the emergence of the global economy and technology. c. vision. The importance of knowledge is increasing. The two opposing ways of examining stakeholder management are called ______ and ______. d. All of these options are correct, Strategic delegation helps c. the key to competitive success is the structure of the industry in which the firm competes. Which of the following statements is most consistent with the I/O view? . PGG Mining is making a strategic decision whether to shut down a coal mine in Pennsylvania. Managers execute or implement their decisions as ______ in the third step of the strategic management process. How do you think the economic growth of developing countries will affect you and your family in the future? b. located in different areas and levels. It's the process of determining the decisions an organization should take. Given that the company's other division managers use straight-line depreciation, is her use of an accelerated method ethical? A model of strategic management process represents a clear and practical approach for formulating, implementing, and evaluating strategies. True or false: Intended strategy rarely survives in its original form. B. d. government regulators. d. analysis. \end{array} a. performance. CEOs, such as late Apple-founder Steve Jobs, must be able to carefully manage the possible actions that their firms might take to deal with changes that occur . Strategic Goals: a. strategic mission. d. a firm's resources, intent, and mission. Study with Quizlet and memorize flashcards containing terms like . d. the CEO, COO, and CFO only. a. predict future revenue streams for the organization. In strategy formulation, ______ activities are designed to create new value and is a major engine for economic growth. ______ innovation is a term used to describe how rapidly and consistently new, information- intensive technologies replace older ones. True or false: The most effective organizations have strong leaders at the top who make all the decisions that the rest of the organization then carries out. The economic interdependence among countries is reflected in the flow of goods, services, financial capital, and knowledge across country borders is defined as: higher performance standards including quality and cost. Which of the following are stakeholder groups that managers should consider when making decisions? a. globalization. Use the simple interest formula method.