WGU D081 VERSION 5 PRACTICE EXAM QUESTIONS WITH CORRECT DETAILED ANSWERS | ALREADY GRADED A+<RECENT VERSION>

WGU D081 VERSION 5 PRACTICE EXAM QUESTIONS WITH CORRECT DETAILED ANSWERS | ALREADY GRADED A+&lt;RECENT VERSION&gt; 1) Initiative - answer an organizational priority that identifies a direction or strategic area of focus 2) Innovation - answer process of developing and implementing a new product or process that delivers value to users or customers 3) Iterative - answer repeated cycles that increasingly approach the desired result 4) Creativity - answer generation of novel or unique ideas 5) Critical thinking - answer disciplined process of rational, evidenced-based, and open-minded thinking that involves analysis and evaluation of inputs to reach an answer 6) Market share - answer the percentage of sales in a market controlled by a particular company or product 7) Customer value - answer the benefit (vs. Cost) a customer receives from a product or service offering 8) Product innovations - answer new or improved goods or services offered to the market 9) Process innovations - answer new or improved ways of conducting business, such as the application of new technology, production techniques, or distribution methods 10) Invention - answer the creation of a unique new idea, process, or object 11) Which type of innovation adds indirect value to customers by lowering costs and increasing the quality of new or existing products or services? - answer process 12) Research and development - answer organizational activities with the goal of innovating products and services 13) Incremental innovations - answer gradual improvements to products or processes 14) Breakthrough innovation - answer the development of an entirely new product or process 15) Transformational innovation - answer organizational adaptation and development of new processes and business models 16) Business model - answer a company's plan for creating value, including the types of products and services it will offer to earn revenue 17) Which type of innovation results in the development of entirely new products or processes? - answer breakthrough 18) Key point - answer innovation is an activity or process that leads to more effective products, processes, services, technologies, or ideas. Innovation is the development of customer value through solutions that meet unmet needs in new ways. 19) Key point - answer creativity is the generation of new ideas. Innovation is the development and implementation of a new idea through a series of stages. 20) Key point - answer three types of innovation include breakthrough, incremental, and transformational. Breakthrough innovation results in the development of completely new products or processes. Incremental innovation occurs through gradual improvements. Transformational innovation radically changes an existing product or process into a new model. 21) Design thinking - answer a human-centered process for innovation consisting of six iterative stages—empathize, define, ideate, prototype, test, and implement 22) Scientific method - answer empirical approach or procedure used to hypothesize and test observations 23) What is a characteristic of strategic management? - answer applies scenario planning to anticipate change 24) Business analysis - answer use of data about the internal and external business environment to identify business needs and objectives 25) Business capabilities - answer an organization's capacity and expertise to carry out specific business activities 26) Macro environment - answer the whole of the organization's external and uncontrollable environment 27) Which stakeholder group's involvement in the business is external? - answer suppliers 28) Key point - answer strategic management provides direction to the organization and ensures that all activities support its business strategy. This involves ensuring that the people in the organization are willing and capable of excelling at the things that create competitive advantage and deliver customer value. 29) Key point - answer having an entrepreneurial mindset means taking ownership of your role and applying creativity, skills, talent, passion, drive, and persistence to support the end goal. Entrepreneurs apply this mindset to developing their own companies while intrapreneurs apply it within existing organizations. 30) Key point - answer key inputs to the strategic management process involve developing a clear picture of the organization's internal situation and external environment through business analysis. This analysis enables strategic decision-making. 31) Qualitative data - answer data that is non-numeric, often collected through interviews, observations, focus groups, and open-ended surveys 32) Quantitative data - answer numeric data (information that can be measured with numbers to answer how much, how many, how often) 33) Evidence-based decision-making - answer approach to decision-making that relies on actual experimentation or historical data to demonstrate the likely success of a plan before taking action 34) Descriptive analytics - answer process by which historical data is analyzed and interpreted to provide business insights 35) Top-down approach - answer management approach in which upper management or company executives make decisions and disseminate them to lower levels of the organizational hierarchy 36) A researcher is trying to assist a company with improving sales by developing a study where customers are observed using the product. Which type of decision-making approach will stem from this activity? - answer evidence-based 37) A ceo has asked a task force team to investigate a decrease in market share and develop a plan to improve the stream of revenue. Which stage of the strategic decision-making process should the team use first? - answer identify the problem 38) The decision-making process - answer identify the problem/decision to be made, create decision criteria, generate ideas and options, weigh options, make the decision, implement, evaluate/assess the result 39) Factors that contribute to your area of the organization's success (kpis) make a good starting point for regular trend analysis. Trend analysis can be used to improve business performance in several ways: - answer using historical data to identify areas where the business is performing well so you can duplicate success Identifying areas where the business is underperforming Providing evidence to inform your decision-making 40) An hr manger analyzed charts of staff turnover from the past four years and noticed that staff turnover rates have increased over this time period. Which type of analysis was used to make this assessment? - answer trend 41) Key point - answer the decision-making process provides a structured approach to making strategic, data-driven decisions aligned to business outcomes. 42) Key point - answer evidence-based decision-making looks for a demonstrated history of success before deciding to take an action. Decision-makers may draw on the insights of descriptive data analytics. 43) Key point - answer data is not always the driver of decision-making. Some situations require managers to make quick decisions, align to actions dictated by upper management, or draw upon intuition and leadership skills. 44) Key point - answer the process of strategic decision-making has seven steps: identifying the problem, creating decision criteria, generating options, weighing options, making a decision, implementing the decision, and evaluating the results. 45) Key point - answer trend analysis helps reveal trends in business performance over time that may not be visible in day-to-day operations. Data analysis, including trend analysis, can be applied to decision-making in a range of industries and business contexts. 46) Risk - answer a situation exposing the organization to liability or loss 47) Risk exposure - answer potential or probability of loss to the business from a possible event 48) Which organizational risk drives innovation and may produce positive outcomes? - answer strategic 49) Preventable risks - answer situations within an organization's control (or ability to avoid) that could expose it to liability or loss 50) Uncontrollable risks - answer situations in the external business environment that may expose an organization to liability or loss but are outside its influence or control 51) Strategic risks - answer situations that may expose an organization to liability or loss but that offer the opportunity to achieve organizational objectives 52) Financial loss - answer these risks relate to potential economic losses that can result from poor allocation of resources, changes in interest rates, shifts in tax policy, increases or decreases in the price of commodities, or fluctuations in the value of currency. 53) Operational loss - answer operational risks relate to the ongoing day-to-day business activities of the organization.4 these risks can arise due to choices about design and use of processes to create and deliver goods and services. They can include production errors, substandard raw materials, and technology malfunctions.