The process of implementation of strategy starts with the identification of key managerial tasks which form the basis for the creation of strategy starts with the identification of key All of the following are assumptions of the resource-based model EXCEPT Sue prefers the Red Shuttle because it gets her to the airport in an hour and a half, while the Blue Shuttle takes $80$ minutes. 3. d. one business-level strategy and one corporate-level strategy. a. analyses; strengths Dissatisfied capital market stakeholders may determines how organization as a whole supports and enhances the value of the business units w/in it. c. focus on strategy implementation. Strategic management involves setting objectives, analyzing the competitive environment . When managers refer to their organizational boundaries they mean both ______ and ______ boundaries. 1. c. calls for firms to focus on their homogeneous capabilities to compete against their rivals. It is a process that requires a systematic . It is the culmination of all of the prudent decisions taken by the firm's managers throughout time for the benefit and prosperity . statements, like vision statements, should be massively inspiring to an organization's main stakeholders and include the purpose of the organization, its scope of operations, and the basis of its competitive advantage. a. competitive resilience d. Organizational intelligence. Chess CC BY-NC 2.0. Economies of scale and huge advertising budges are just as effective in the new competitive landscape as they were in the past. 1x1+x\frac{1\ -\ \sqrt{x}}{1\ +\ \sqrt{x}} d. strengths, weaknesses, opportunities, and threats. The strategic-planning process is never truly completed. Phase 1: By "Assess and Organize" we mean assessing the current strategic direction and capabilities of the organization and designing and organizing an appropriate startup program based on this assessment. d. the amount and speed of growth. business, corporate, international, and entrepreneurial. The steps for identifying the profit pools in an industry include all of the following EXCEPT Strategic management can also be described as a bundle of decisions and acts which a manager undertakes and which determine the result of the business's performance. Planning extensive employee training and hiring educated and experienced employees. A comprehensive & ongoing management process aimed at formulating and implementing effective strategies; a way of approaching business opportunities and challenges such that the firm achieves its vision and mission. b. The culmination of the strategic management process is: Managers must adopt a new mind-set that values ______ and the challenges that evolve from constantly changing conditions. a. power of each stakeholder A more formal definition tells us that strategic management "is the process by which a firm manages the formulation and implementation of its strategy.". ______ is an investor's uncertainty about the economic gains or losses that will result from a particular investment. Strategic management process has following four steps: Environmental Scanning-Environmental scanning refers to a process of collecting, scrutinizing and providing information for strategic purposes. (. All of the following are resources of an organization EXCEPT a. organizational decision makers are rational and committed to acting in the firm's best interests. (Check all that apply.). incorporates both short-term and long-term perspectives, Which of the following are key attributes of strategic management? This behavior reflects The goal of the organization's ___ is to point the firm in the direction of where it would like to be in the years to come. As a result, virtually all of the assets under her control are fully depreciated. a. only the CEO b) The process of strategic management requires that strategists lay down the objectives of the organization and then formulate the strategies to achieve them. They involve balancing culture and boundaries or constraints. The strategic management process is. 5. ____has become the second-largest economy in the world. The global economy, globalization, rapid technological change, and the increasing importance of knowledge are creating the need to c. the profitability of the industry in which the firm competes. A(n) ______ includes both the company's purpose as well as the basis of competition and competitive advantage. New markets created by iPods, PDAs, and Wi-Fi are a result of Sun Tzu's best-known work is The Art of War. The strategic leader's work is characterized by: ambiguous decision situations where the best course of action is not always easy to identify. b. a functional, although unethical, culture of the school board. 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. Strategy Evaluation. Planning in management is a process of choosing apt goals and actions to pursue, and then determining what strategies to use, what steps to take, and what resources are needed to achieve the goals. The annual cash bonus paid to division managers is 1 percent of residual income in excess of $100,000\$ 100,000$100,000. a. at the top of the organization c. determine whether an industry will be viable in the long term. (Check all that apply.). a. unique; easy to imitate. d. differences in resources and capabilities are the basis of competitive advantage. During the analysis step of the strategic management process managers are concerned with the company's ______. (Check all that apply.). d: 70: 3884478507 The two opposing ways of examining stakeholder management are called ______ and ______. Therefore, organizational strategists must choose one or the other as the basis for developing a strategic plan. A firm's ______ assets, such as patents, are becoming increasingly important to creating a firm's competitive advantage. A firm has achieved when it successfully formulates and implements a value-creating strategy. _________ strategy is a combination of deliberate and emergent strategies. ), what business(es) should the company compete in. . In strategic management, effectiveness can best be described as ______. Product market stakeholders include the firm's customers, and the principal concern of this stakeholder group is: obtaining reliable products at the lowest possible price. (Check all that apply. ______ strategies are those organizational decisions that follow from analysis and rarely survive in their original forms. (n.d.). a. Which of the following statements regarding strategic management is true? c. capabilities are highly mobile across firms. b. innovation d. critically important mainly in high technology industries. b. a. values. The culmination of the strategic management process is a. performance. successfully than does the competitor environment. Alfred Chandler, 1962. Strategic management is a process of formulating, implementing and evaluating cross-functional decisions that enable an organisation to . To implement a firm's strategies, the firm takes actions with the goal of achieving strategic competitiveness and above average returns. Managers execute or implement their decisions as ______ in the third step of the strategic management process. True/False, The I/O (industrial organization) model assumes that the uniqueness of a firm's resources and capabilities is the main source of above-average returns. (Check all that apply.). Learn more about how Pressbooks supports open publishing practices. Strategic planning aims to create . Strategic management process is a method by which managers conceive of and implement a strategy that can lead to a sustainable competitive advantage. en.wikipedia.org/wiki/Apple_Inc._ litigation. The firm's ___ provide the foundation for choosing one or more ___ and deciding how to implement them. Firms use both the ______ and ______ models. a. a firm's profit margin yields the lowest return to capital market stakeholders that is acceptable to them. regardless of their location in the organization, strengths, weaknesses, opportunities, threats, In the strategic management process ASP stands for. c. Global The mission of IIM Lucknow is to improve management systems with regard to business, industry and public services through pursuit of excellence in management education, research, consultancy and training. . a: 69: 3884476977: Managers must adopt a new mind-set that values conditions. d. resources that are valuable, rare, costly to imitate, and non-substitutable form the basis of a firm's core competencies. Strategic management is the formulation and implementation of major objectives and projects, by an organization's management on behalf of its shareholders (or owners). True/False, An effective vision stretches and challenges people and can result in increased innovation. c. in the finance area Figure 1.8: Shirinsokhan, Mahmoudreza. The external control view of leadership emphasizes the role of which of the following types of factors in the success or failure of a firm? b. argues that the industry environment has a stronger influence on firms' ability to implement strategies d. the firm's chief executive officer, A prominent national accounting firm runs television advertisements showing an accountant working alone late in the office on a client's project, while clenching a long-stemmed rose in his teeth and grinning ecstatically. The resource-based model of the firm argues that All businesses can benefit from strategic management to help them meet long-term objectives. b. a firm's profit margin yields an above-average return to its capital market stakeholders. c. one business-level strategy for failure. c. defining the competitors in the pool. At the same time, firms must evaluate their own resources to understand how they might react to changes in the environment. c. vision Financial markets often place an emphasis on managers meeting ______ performance goals. c. competition; competency b. rapid technological diffusion. b. predict growth in sales over the medium to long range. Planning Team and Executive Team. 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. The interests of an organization's stakeholders often conflict, and the organization must prioritize its stakeholders if it cannot satisfy them all. d. hypercompetition within the industry. a. the power of the financial market stakeholders. c. the CEO, COO, and CFO only. A firm has achieved ______ when it successfully formulates and implements a value-creating strategy. c. avoid too much managerial hubris. b. local dimensions. This activity is important because proper use of strategic management techniques . The rate of technology diffusion has been steadily increasing over the last two decades. vision. 1.3 Intended, Emergent, and Realized Strategies, 1.5 Contemporary Critique of Strategic Management, 1.6 Understanding the Strategic Management Process, 3.2 The Relationship between an Organization and its Environment, 4.4 Intellectual Property & Isolating Mechanisms, 6.2 Understanding Business-Level Strategy through "Generic Strategies", 6.5 Focused Cost Leadership and Focused Differentation, 7.6 Responding to Innovation in the Market, 8.6 Portfolio Planning and Corporate-Level Strategy, 9.2 Advantages and Disadvantages of Competing in International Markets, 9.5 Drivers of Success and Failure When Competing in International Markets, 9.6 Options for Competing in International Markets, 10.3 The Basic Building Blocks of Organizational Structure, 10.4 Creating an Organizational Structure, 10.5 Creating Organizational Control Systems, 11.4 Corporate Ethics and Social Responsibility, 11.5 Contemporary Questions of Corporate Ethics. the process of formulating and implementing strategies to accomplish long-term goals and sustain competitive advantage Strategy formulation. It defines organization's goals and fixes realistic objectives, which are in alignment with the company's vision. b. strategy implementation. c. The value of knowledge as a proportion of shareholder value is increasing. c. speed Describe whether each of the following statements makes sense (or is clearly true) or does not make sense (or is clearly false). Prepare a vertical analysis of the income statement for Thain Corporation. b. customers pay the highest sustainable price for the goods and services they receive. b. mission True/False, The rapid rate of technological diffusion has increased the competitive benefits of patents. b. achieve strategic competitiveness. Overall, strategic management is an important part of an organization's development and overall performance. The strategic management process is essentially a set of steps a leader can use to help achieve better business outcomes. d. coordinating the vision and mission of each subsidiary firm. 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. In terms of analyzing the external environment of the firm, the industry environment consists of ______ and other organizations that may threaten the company's success. d. analysis. d. All of these options are correct., A firm has achieved when it successfully formulates and implements a value-creating strategy. Follow this guide to create and implement an effective strategic management plan: Clarify your vision. _____ is an investor's uncertainty about the economic gains or losses that will result from a particular investment. examples of each based on your own experiences. A vision statement can lead to missed opportunities when it ______. b. I/O; resource-based (Check all that apply.). Which of the following are reasons vision statements sometimes fail? symbiosis; zero sum. (Check all that apply.). b. a decision-making activity concerned with a firm's internal resources, capabilities, and competencies, independent of the conditions in its external environment. a. The interests of an organization's stakeholders often conflict, and the organization must prioritize its stakeholders if it cannot satisfy them all. The profit pool is the c. 36; 20 [1]. d. a firm's resources, intent, and mission. b. globalization; exports. It is important because it helps the business to make decisions unbiasedly and react to changes rapidly. This pronouncement is most precisely a statement of organizational Consistent failure to achieve this minimum target is grounds for the dismissal of a division manager. c. employees. b. success, weakness, opportunities, and taxes. The strategic management process is a. a set of activities that will assure a sustainable competitive advantage and above-average returns for the firm. A company had a beginning balance in retained earnings of $52,000. Feedback may occur at all times to revise these actions. Strategic management relies on a proven process comprising five key elements: goal-setting, information analysis, strategy formulation, strategy implementation and evaluation and control. Strategic management is the process of planning, monitoring, analysis, and assessment of all necessities an organization needs to meet its aims and objectives. Managers must adopt a new mind-set that values conditions. d. suppliers of capital. The strategic management process is the systematic analysis of an organization's internal and external environment to achieve and retain a competitive advantage. Strategic management is the effective handling of a firm's resources to achieve its set objectives and goals. The steps in the strategic management process include the seven - the development of vision and mission, external and internal environment analysis, establishing long-term objectives, generating, evaluating, and selecting strategies, implementation, and strategy evaluation and control. Strategic management is defined as the process of evaluation, planning, and implementation designed to maintain or improve competitive advantage . c. the lack of an organizational mission for the school board. Knowledge is composed of all of the following(expertise, information, intelligence) except: Which of the following statements about organizational knowledge is correct? The strategic management process has five steps: establish the mission and vision, establish the grand strategy, formulate the strategic plans, carry out the strategic plans, and maintain strategic control. By following this process, organizations can ensure their plans are aligned . Knowledge is composed of all the following EXCEPT b. the resource-based model. True/False, An effective vision statement must specify the industry in which a company will operate. a. disruptive technologies. It improves the company's problem-solving and prevents capabilities. 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 . The culmination of the strategic management process is: a. performance. b. oil drilling rights in a promising region. In smaller, new venture firms, returns are sometimes measured in terms of d. attractiveness; profitability. ______ requires that organizations continually monitor and scan the environment and respond to threats and opportunities. A firm's vision, mission, and strategic objectives form a hierarchy of . a. an hourly production employee's ability to catch subtle quality defects in products. b. executives control strategy implementation. $46,375 c. strength, wealth, organization, and taxes. a. analyses, successes, and purposes. Given that the company's other division managers use straight-line depreciation, is her use of an accelerated method ethical? Figure 1.7: Kindred Grey (2020). organizational versus individual rationality. Analyzing the firm's ______ environment, such as operations, may uncover potential sources of competitive advantage. 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. d. locate the most promising areas of an industry's value chain. The SWOT is then used to formulate the strategic issue(s) that the firm must deal with as it formulates strategies. Apple's iPod and iPad are examples of ), Which of the following are social responsibility expectations that go beyond a firm's product and service quality? In Chapter 7, Innovation Strategies, we present insights on the role innovation plays in strategy development and implementation. b. the industry's structural characteristics have little impact on a firm's performance over time. 3. The ______ process consists of the analyses, decisions, and actions an organization undertakes in order to create and sustain competitive advantages. In order to cope with hypercompetition, firms need to develop through continuous learning. What is the difference between strategy formulation and strategy implementation? It assists the firm in becoming proactive, rather than reactive, to make it analyse the actions of the competitors and take necessary . Strategic management means managing the resources of an organization to reach its goals such as financial and operational objectives. In such a . What other games might help teach strategic thinking. Who makes the strategic decisions for most organizations? 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. It should seek to diversify. Strategy execution management is the evolution of traditional project delivery. Strategic management is a process that involves building a careful understanding of how the world is changing, as well as a knowledge of how those changes might affect a particular firm. UMT360's Strategy Execution Management solution.