CM 4223 Midterm Kimberley Williams (Moodle
resources) – Questions With Fully Explained
Solutions
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Terms in this set (189)
The art and science of formulating, implementing, and
What is strategic
evaluating cross-functional decisions that enable an
management?
organization to achieve its objectives.
How is strategic Strategic management is often used synonymously with
management related to strategic planning, though it can also refer specifically
strategic planning? to strategy formulation, implementation, and evaluation.
What is the purpose of To exploit and create new and different opportunities
strategic management? for tomorrow.
What are the three stages Strategy formulation, strategy implementation, and
of the strategic- strategy evaluation.
management process?
Developing a vision and mission, identifying external
opportunities and threats, determining internal strengths
What does strategy
and weaknesses, establishing long-term objectives,
formulation involve?
generating alternative strategies, and choosing
strategies to pursue.
Establishing annual objectives, devising policies,
What is the focus of
motivating employees, and allocating resources to
strategy implementation?
execute formulated strategies.
It helps managers know when particular strategies are
Why is strategy evaluation
not working well and allows for modifications based on
important?
changing external and internal factors.
Individuals most responsible for the success or failure of
Who are strategists? an organization, often holding titles like CEO, president,
or executive director.
, A statement that answers the question 'What do we
What is a vision statement? want to become?' and is often the first step in strategic
planning.
An enduring statement of purpose that distinguishes
What is a mission
one business from others, identifying the scope of a
statement?
firm's operations in product and market terms.
What are external Factors largely beyond the control of a single
opportunities and threats? organization that can impact its success.
What are internal strengths Controllable activities performed well or poorly by an
and weaknesses? organization, determined relative to competitors.
Why are objectives They provide direction, aid in evaluation, create synergy,
important in strategic reveal priorities, and focus coordination for effective
management? planning and control.
What are strategies in the Means by which long-term objectives will be achieved,
context of strategic including actions like geographic expansion,
management? diversification, and product development.
Short-term milestones that organizations must achieve
What are annual
to reach long-term objectives, measurable and
objectives?
prioritized at various organizational levels.
What role do policies play They provide guidelines, rules, and procedures to
in strategic management? support efforts in achieving stated objectives.
What is a comprehensive A widely accepted framework for formulating,
strategic-management implementing, and evaluating strategies, representing a
model? systematic approach to decision-making.
What are the financial Improved sales, profitability, and productivity compared
benefits of strategic to firms without systematic planning activities.
management?
Enhanced awareness of external threats, improved
What are some nonfinancial
understanding of competitors, increased employee
benefits of strategic
productivity, and clearer performance-reward
management?
relationships.
What are common reasons Lack of training, no appreciation for planning benefits,
firms do not engage in time constraints, and overconfidence in current success.
strategic planning?
How does communication It is key to successful strategic management, facilitating
relate to strategic understanding and coordination among managers.
management?
, What is the significance of They signal a commitment to specific markets, policies,
tough managerial choices and operations, guiding the organization's direction.
in strategic planning?
What does the action stage Developing a strategy-supportive culture, creating an
of strategy implementation effective organizational structure, and linking employee
involve? compensation to performance.
What is the role of strategy It allows organizations to modify strategies based on
evaluation in adapting to the constant changes in external and internal
change? environments.
What is the relationship Strategic management promotes systematic planning
between strategic that leads to more informed decisions anticipating
management and informed short- and long-term consequences.
decision-making?
What is a common pitfall of Using strategic planning to gain control over decisions
strategic planning related and resources.
to decision-making?
Why might organizations To satisfy accreditation or regulatory requirements.
engage in strategic
planning only superficially?
What is a potential issue Doing so too hastily.
when moving from mission
development to strategy
formulation?
What happens when They continue working in the dark.
employees are not
informed about the
strategic plan?
What can occur when top These decisions may conflict with the formal plan.
managers make intuitive
decisions?
What is a consequence of The planning process may fail to be effective.
top managers not
supporting the strategic
planning process?
How can failing to use It can lead to poor performance measurement.
plans as a standard affect
performance?
resources) – Questions With Fully Explained
Solutions
Save
Terms in this set (189)
The art and science of formulating, implementing, and
What is strategic
evaluating cross-functional decisions that enable an
management?
organization to achieve its objectives.
How is strategic Strategic management is often used synonymously with
management related to strategic planning, though it can also refer specifically
strategic planning? to strategy formulation, implementation, and evaluation.
What is the purpose of To exploit and create new and different opportunities
strategic management? for tomorrow.
What are the three stages Strategy formulation, strategy implementation, and
of the strategic- strategy evaluation.
management process?
Developing a vision and mission, identifying external
opportunities and threats, determining internal strengths
What does strategy
and weaknesses, establishing long-term objectives,
formulation involve?
generating alternative strategies, and choosing
strategies to pursue.
Establishing annual objectives, devising policies,
What is the focus of
motivating employees, and allocating resources to
strategy implementation?
execute formulated strategies.
It helps managers know when particular strategies are
Why is strategy evaluation
not working well and allows for modifications based on
important?
changing external and internal factors.
Individuals most responsible for the success or failure of
Who are strategists? an organization, often holding titles like CEO, president,
or executive director.
, A statement that answers the question 'What do we
What is a vision statement? want to become?' and is often the first step in strategic
planning.
An enduring statement of purpose that distinguishes
What is a mission
one business from others, identifying the scope of a
statement?
firm's operations in product and market terms.
What are external Factors largely beyond the control of a single
opportunities and threats? organization that can impact its success.
What are internal strengths Controllable activities performed well or poorly by an
and weaknesses? organization, determined relative to competitors.
Why are objectives They provide direction, aid in evaluation, create synergy,
important in strategic reveal priorities, and focus coordination for effective
management? planning and control.
What are strategies in the Means by which long-term objectives will be achieved,
context of strategic including actions like geographic expansion,
management? diversification, and product development.
Short-term milestones that organizations must achieve
What are annual
to reach long-term objectives, measurable and
objectives?
prioritized at various organizational levels.
What role do policies play They provide guidelines, rules, and procedures to
in strategic management? support efforts in achieving stated objectives.
What is a comprehensive A widely accepted framework for formulating,
strategic-management implementing, and evaluating strategies, representing a
model? systematic approach to decision-making.
What are the financial Improved sales, profitability, and productivity compared
benefits of strategic to firms without systematic planning activities.
management?
Enhanced awareness of external threats, improved
What are some nonfinancial
understanding of competitors, increased employee
benefits of strategic
productivity, and clearer performance-reward
management?
relationships.
What are common reasons Lack of training, no appreciation for planning benefits,
firms do not engage in time constraints, and overconfidence in current success.
strategic planning?
How does communication It is key to successful strategic management, facilitating
relate to strategic understanding and coordination among managers.
management?
, What is the significance of They signal a commitment to specific markets, policies,
tough managerial choices and operations, guiding the organization's direction.
in strategic planning?
What does the action stage Developing a strategy-supportive culture, creating an
of strategy implementation effective organizational structure, and linking employee
involve? compensation to performance.
What is the role of strategy It allows organizations to modify strategies based on
evaluation in adapting to the constant changes in external and internal
change? environments.
What is the relationship Strategic management promotes systematic planning
between strategic that leads to more informed decisions anticipating
management and informed short- and long-term consequences.
decision-making?
What is a common pitfall of Using strategic planning to gain control over decisions
strategic planning related and resources.
to decision-making?
Why might organizations To satisfy accreditation or regulatory requirements.
engage in strategic
planning only superficially?
What is a potential issue Doing so too hastily.
when moving from mission
development to strategy
formulation?
What happens when They continue working in the dark.
employees are not
informed about the
strategic plan?
What can occur when top These decisions may conflict with the formal plan.
managers make intuitive
decisions?
What is a consequence of The planning process may fail to be effective.
top managers not
supporting the strategic
planning process?
How can failing to use It can lead to poor performance measurement.
plans as a standard affect
performance?
