MBA 620 FINAL COMPREHENSIVE STUDY
GUIDE WITH COMPLETE SOLUTIONS
◉ What are some pros & cons of a broad mission statement?
Answer: Pros- addresses the problem of too narrow of a focus
Cons- Can fail to clearly define core market & product areas
◉ What is a narrow focus mission statement?
Answer: Example: Newport News Shipbuilding "we build good
ships"
◉ What are some pros & cons of a narrow focus mission statement?
Answer: Pros: Very clear description of the organizations primary
business
Cons: May set unnecessary constraints on the company's activities
◉ What are characteristics of a successful mission statement?
Answer: 1. Credibility
2. Uniqueness
3. Specific capabilities
4. Aspirational
,**Also need to define the scope: Product, market, geographical*
◉ What are SMART goals? *Can be both short & long term
Answer: Specific
Measurable
Aspirational / Achievable
Realistic
Time Scales / Timely
◉ What are characteristics of successful objectives?
Answer: Acceptability
Flexibility
Comprehensibility
◉ What is the hierarchy of objectives?
Answer: Corporate - over 3 years: organizations overall direction in
term of growth / i.e. increase profit by 30%
Functional - over 3 years: Marketing, finance, HR, ops - Departments
direction in terms of growth / i.e. 25% increase in marketing share
, Operational - 1-3 years: marketing mix (product, service,
promotion) Marketing strategy becomes the objective
Sometimes SBU - level also if org has a divisional structure
◉ What is the balanced scorecard?
Answer: Requires managers to look at business from 4 key
perspectives:
1. Customer - satisfaction via surveys
2. Internal - marketing, manufacturing, logistics, quality
3. Innovation / learning - time to market, continuous improvement
4. Financial - ROI, cash flow, yearly performance
◉ What are some key areas w/in which organizations should
develop objectives (Drucker)
Answer: - Market standing
- innovation
- productivity
- physical & financial resources
- profitability
- manager performance & development
- employee performance and attitude
GUIDE WITH COMPLETE SOLUTIONS
◉ What are some pros & cons of a broad mission statement?
Answer: Pros- addresses the problem of too narrow of a focus
Cons- Can fail to clearly define core market & product areas
◉ What is a narrow focus mission statement?
Answer: Example: Newport News Shipbuilding "we build good
ships"
◉ What are some pros & cons of a narrow focus mission statement?
Answer: Pros: Very clear description of the organizations primary
business
Cons: May set unnecessary constraints on the company's activities
◉ What are characteristics of a successful mission statement?
Answer: 1. Credibility
2. Uniqueness
3. Specific capabilities
4. Aspirational
,**Also need to define the scope: Product, market, geographical*
◉ What are SMART goals? *Can be both short & long term
Answer: Specific
Measurable
Aspirational / Achievable
Realistic
Time Scales / Timely
◉ What are characteristics of successful objectives?
Answer: Acceptability
Flexibility
Comprehensibility
◉ What is the hierarchy of objectives?
Answer: Corporate - over 3 years: organizations overall direction in
term of growth / i.e. increase profit by 30%
Functional - over 3 years: Marketing, finance, HR, ops - Departments
direction in terms of growth / i.e. 25% increase in marketing share
, Operational - 1-3 years: marketing mix (product, service,
promotion) Marketing strategy becomes the objective
Sometimes SBU - level also if org has a divisional structure
◉ What is the balanced scorecard?
Answer: Requires managers to look at business from 4 key
perspectives:
1. Customer - satisfaction via surveys
2. Internal - marketing, manufacturing, logistics, quality
3. Innovation / learning - time to market, continuous improvement
4. Financial - ROI, cash flow, yearly performance
◉ What are some key areas w/in which organizations should
develop objectives (Drucker)
Answer: - Market standing
- innovation
- productivity
- physical & financial resources
- profitability
- manager performance & development
- employee performance and attitude
