Question 1

Which of the following is one of four perspectives that the balanced score card approach facilitates?&#10;A) Internal business perspective&#10;B) External perspective&#10;C) Competitor perspective&#10;D) Supplier perspective

Accepted Answer

The balanced scorecard approach facilitates four perspectives: financial, customer, internal business, and learning and growth. Out of the given options, only "Internal business perspective" is one of the four perspectives. "External perspective", "Competitor perspective", and "Supplier perspective" are not the four perspectives of the balanced scorecard approach.

Question 2

Which of the following is a driver of value that Amit and Zott (2001) suggest that business managers should focus on?&#10;A) efficiency&#10;B) Capital investment&#10;C) Market data&#10;D) Competitor strategy

Accepted Answer

Amit and Zott (2001) suggest that managers should focus on achieving efficiency as a driver of value.

Question 3

Human Resource Management (HRM) has been described as the process through which management build&#8230;&#10;A) the human performance that the organization needs&#10;B) strong employee relations&#10;C) a strong reputation&#10;D) lower costs

Accepted Answer

HRM is designed to help management create and maintain a productive workforce that is able to meet the needs of the organization. This includes building the necessary skills, knowledge, and attitudes among employees to ensure that they perform at the highest level possible. By focusing on human performance, HRM is able to help organizations achieve their goals and objectives while also maintaining a positive work environment. B, C, and D may be outcomes of effective HRM, but they are not the primary purpose or focus.

Question 4

Workers and their skills are a key part of what?&#10;A) Core distinctive capabilities&#10;B) Resource base&#10;C) Training strategy&#10;D) Costs profile

Accepted Answer

Core distinctive capabilities refer to the unique strengths and advantages that an organization possesses, which differentiate it from its competitors. In many cases, the skills and capabilities of the workforce are a key part of these distinctive capabilities. Therefore, workers and their skills are an important part of an organization's resource base and competitive advantage. Training strategy and costs profile are important considerations as well, but they are not as directly connected to an organization's distinctive capabilities.

Question 5

Creating systems that are reliable, flexible, and capable of rapid change is part of what?&#10;A) Agile manufacturing&#10;B) Lean manufacturing&#10;C) Responsive manufacturing&#10;D) Dynamic manufacturing

Accepted Answer

Creating systems that are reliable, flexible, and capable of rapid change is a characteristic of Agile manufacturing. Lean manufacturing focuses on eliminating waste and increasing efficiency, while responsive manufacturing focuses on quickly responding to customer demands. Dynamic manufacturing is not a widely recognized term in the industry.

Question 6

Criteria that can be used to segment customers include:&#10;A) psychographic&#10;B) psychological&#10;C) psychiatric&#10;D) photographic

Accepted Answer

Psychographic criteria refer to the attitudes, values, and lifestyle of customers, which can be used to segment them. Psychological and psychiatric criteria are not commonly used in customer segmentation. Photographic criteria are not relevant to customer segmentation.

Question 7

Functional strategy as benefits to the organization including which two from the following?&#10;A) Coherence&#10;B) Provide purpose&#10;C) Accountability&#10;D) Centralized control

Accepted Answer

The answer of Functional strategy as benefits to the organization...

Question 8

As well as several advantages, functional strategies also have disadvantages. Which two of the following are disadvantages of functional strategy?&#10;A) Overstretch managers&#10;B) Distract functional managers&#10;C) Reduce managerial workload&#10;D) Improve collegiality

Accepted Answer

Functional strategies can overstretch managers because they are focused on optimizing one particular function, which may require significant time and resources. This can distract functional managers from broader organizational goals and initiatives, reducing their effectiveness across the organization. Conversely, functional strategies can improve collegiality by fostering collaboration and communication among functional teams, but this is not a disadvantage. Additionally, functional strategies may reduce managerial workload by streamlining processes and delegating responsibilities, but this is not a disadvantage either.

Question 9

In financial risk management, strategic risks are not necessarily undesirable.

Accepted Answer

Strategic risks refer to risks that arise from strategic decisions or actions taken by a company. These risks may be pursued intentionally to achieve specific goals or objectives, and may be viewed as necessary or acceptable risks. Therefore, strategic risks are not always undesirable.

Question 10

Strategic opportunities from IT include increasing or decreasing switching costs.

Accepted Answer

IT can provide opportunities for companies to increase or decrease switching costs for customers, depending on how they use technology to improve their products or services. For example, implementing a loyalty program or adding personalized features can increase switching costs, while making it easier to switch between products or services can decrease switching costs.

Deck 9: Functional Strategy and Performance