MGMT 449 QUESTIONS WITH VERIFIED ANSWERS
Know the two perspectives of leadership and their implications. - Answers - Romantic
View of Leadership: The implicit assumption is that the leader is the key force in
determining an organization's success - or lack thereof.
External Control View of Leadership: The focus is on external factors that may positively
(or negatively) affect a firm's success.
Know the three components of strategic management process. - Answers - Three
Components of Strategic Management Process:
These processes are ongoing, highly interdependent, and often do not occur in
sequence in most companies.
-Analyses: of strategic goals along with analysis of the internal and external
environments of the organization.
AKA Strategy Analysis
Analyzing Organizational Goals and Objectives (Ch1)
Analyzing the External Environment of the Firm (Ch2)
Assessing the Internal Environment of the Firm (Ch3)
Assessing a Firm's Intellectual Assets (Ch4)
-Decisions: What industries should we compete in? How should we compete in those
industries?
AKA Strategy Formulation
Formulating Business-Level Strategy (Ch5)
Formulating Corporate-Level Strategy (Ch6)
Formulating International Strategy (Ch7)
Entrepreneurial Strategy & Competitive Dynamics (Ch8)
-Actions: must be taken based on the decisions that were made to implement their
strategies.
AKA Strategy Implementation
Strategic Control & Corporate Governance (Ch9)
Creating Effective Organizational Designs (Ch10)
Creating a Learning Organization and an Ethical Organization (Ch11)
Fostering Corporate Entrepreneurship (Ch12)
Four key attributes. - Answers - Four Key Attributes of Strategic Management.
-Directs the organization toward overall goals and objectives.
-Includes multiple stakeholders in decision making.
-Needs to incorporate short-term and long-term perspectives.
-Recognizes trade-offs between efficiency and effectiveness.
, Know what is required to achieve sustainable competitive advantage. - Answers -
Strategy is all about being different. Sustainable competitive advantage is possible only
by performing different activities from rivals or performing similar activities in different
ways.
Know the difference between organizational versus the individual rationality perspective.
- Answers - This falls under the first Key Attribute, directed toward overall organizational
goals and objectives. Effort must be directed at what is best for the total organization,
not just a single functional area. What might look "rational" or ideal for one functional
area may not be in the best interest of the overall firm.
Know the difference between effectiveness and efficiency. - Answers - These fall under
the fourth Key Attribute, involves the recognition of trade-offs between effectiveness and
efficiency. Successful managers must make many trade-offs.
Effectiveness: "doing the right thing"
Efficiency: "doing things right"
Know the difference between deliberate, realized and emergent strategies. - Answers -
The final Realized Strategy of any firm is a combination of deliberate and emergent
strategies.
Know the various approaches to managing relationships with stakeholders. - Answers -
Stakeholder management consists of Zero Sum or Symbiosis.
Know why top level executives are important for strategic implementation other than the
fact that they formulate the strategy - Answers - Top-level executives are key in setting
the tone for the empowerment of employees.
To inculcate a strategic management perspective, managers must create management
processes to foster change. This involves planning, leading, and holding people
accountable.
Know the Triple Bottom Line concept - Answers - Triple Bottom Line Approach
evaluates a firm's performance. This perspective takes into account financial, social,
and environmental performance.
Know the relationship between Vision, Mission Statement, and Strategic Objectives -
Answers - -Strategic management is concerned with the analysis of strategic goals
(vision, mission, and strategic objectives) along with the analysis of the internal and
external environments of the organization.
-Vision (Statement): A goal that is "massively inspiring, overarching, and long term." It
represents a destination that is driven by and evokes passion.
-Mission Statement: Differs from its vision in that it encompasses both the purpose of
the company and the basis of competition and competitive advantage. Its more specific
that a vision statement. A mission can/should change when competitive conditions
dramatically change.
Know the two perspectives of leadership and their implications. - Answers - Romantic
View of Leadership: The implicit assumption is that the leader is the key force in
determining an organization's success - or lack thereof.
External Control View of Leadership: The focus is on external factors that may positively
(or negatively) affect a firm's success.
Know the three components of strategic management process. - Answers - Three
Components of Strategic Management Process:
These processes are ongoing, highly interdependent, and often do not occur in
sequence in most companies.
-Analyses: of strategic goals along with analysis of the internal and external
environments of the organization.
AKA Strategy Analysis
Analyzing Organizational Goals and Objectives (Ch1)
Analyzing the External Environment of the Firm (Ch2)
Assessing the Internal Environment of the Firm (Ch3)
Assessing a Firm's Intellectual Assets (Ch4)
-Decisions: What industries should we compete in? How should we compete in those
industries?
AKA Strategy Formulation
Formulating Business-Level Strategy (Ch5)
Formulating Corporate-Level Strategy (Ch6)
Formulating International Strategy (Ch7)
Entrepreneurial Strategy & Competitive Dynamics (Ch8)
-Actions: must be taken based on the decisions that were made to implement their
strategies.
AKA Strategy Implementation
Strategic Control & Corporate Governance (Ch9)
Creating Effective Organizational Designs (Ch10)
Creating a Learning Organization and an Ethical Organization (Ch11)
Fostering Corporate Entrepreneurship (Ch12)
Four key attributes. - Answers - Four Key Attributes of Strategic Management.
-Directs the organization toward overall goals and objectives.
-Includes multiple stakeholders in decision making.
-Needs to incorporate short-term and long-term perspectives.
-Recognizes trade-offs between efficiency and effectiveness.
, Know what is required to achieve sustainable competitive advantage. - Answers -
Strategy is all about being different. Sustainable competitive advantage is possible only
by performing different activities from rivals or performing similar activities in different
ways.
Know the difference between organizational versus the individual rationality perspective.
- Answers - This falls under the first Key Attribute, directed toward overall organizational
goals and objectives. Effort must be directed at what is best for the total organization,
not just a single functional area. What might look "rational" or ideal for one functional
area may not be in the best interest of the overall firm.
Know the difference between effectiveness and efficiency. - Answers - These fall under
the fourth Key Attribute, involves the recognition of trade-offs between effectiveness and
efficiency. Successful managers must make many trade-offs.
Effectiveness: "doing the right thing"
Efficiency: "doing things right"
Know the difference between deliberate, realized and emergent strategies. - Answers -
The final Realized Strategy of any firm is a combination of deliberate and emergent
strategies.
Know the various approaches to managing relationships with stakeholders. - Answers -
Stakeholder management consists of Zero Sum or Symbiosis.
Know why top level executives are important for strategic implementation other than the
fact that they formulate the strategy - Answers - Top-level executives are key in setting
the tone for the empowerment of employees.
To inculcate a strategic management perspective, managers must create management
processes to foster change. This involves planning, leading, and holding people
accountable.
Know the Triple Bottom Line concept - Answers - Triple Bottom Line Approach
evaluates a firm's performance. This perspective takes into account financial, social,
and environmental performance.
Know the relationship between Vision, Mission Statement, and Strategic Objectives -
Answers - -Strategic management is concerned with the analysis of strategic goals
(vision, mission, and strategic objectives) along with the analysis of the internal and
external environments of the organization.
-Vision (Statement): A goal that is "massively inspiring, overarching, and long term." It
represents a destination that is driven by and evokes passion.
-Mission Statement: Differs from its vision in that it encompasses both the purpose of
the company and the basis of competition and competitive advantage. Its more specific
that a vision statement. A mission can/should change when competitive conditions
dramatically change.
