Question 1

Does Tim Cook, CEO of Apple Inc., have sole responsibility for strategy execution and for making sure that the task of implementing and executing the strategy for that company goes well?

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Question 2

The major disadvantage of a decentralized organizational structure is that it can result in

Accepted Answer

A decentralized organizational structure delegates decision-making authority to lower levels of the organization, which can lead to situations where higher-level management might not be fully aware of the actions taken by lower levels. This lack of oversight can put the organization at risk if those actions are not aligned with the overall strategy or if they are inappropriate.

Question 3

Larger firms with more complex organizational structures are

Accepted Answer

Larger firms with more complex organizational structures tend to have more specialized departments and teams. This allows decision-making to be decentralized, with lower-level employees and managers having the authority to make decisions within their areas of expertise. This can increase efficiency and responsiveness to changes in the business environment. Therefore, option B is the best choice.

Question 4

A disadvantage of the centralized organization is that it

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Question 5

Which structure combines two or more organizational forms, with multiple reporting relationships, and is used to foster cross-unit collaboration?

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Question 6

The organizing challenge of a decentralized structure that stresses employee empowerment is

Accepted Answer

The challenge in a decentralized structure that emphasizes employee empowerment is ensuring that while employees have the freedom to make decisions, those decisions do not put the business at risk. This involves finding a balance between giving employees autonomy and maintaining enough control to ensure the company's objectives are met.

Question 7

One of the big weaknesses of organization structures that do not have cross-business collaboration is

Accepted Answer

Without cross-business collaboration, different departments may pursue their own priorities and agendas, which can lead to strategic activities and capabilities being scattered across the organization. This lack of coordination can hinder the organization's ability to achieve its strategic objectives.

Question 8

Does the need to tailor a company's strategy-executing approaches to the particulars of the situation at hand necessarily alter the principal managerial components of the strategy-implementing/strategy-executing process?

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Question 9

Building organizational bridges with external allies is aided by

Accepted Answer

Appointing "relationship managers" helps ensure that there is a dedicated person responsible for managing and nurturing the strategic partnerships or alliances, which can lead to achieving the intended benefits.

Question 10

Identify and briefly discuss/explain three components of structuring a company's work effort to promote successful strategy execution.

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Question 11

Imagine that you are proposing that your organization reconfigure itself into a highly centralized organizational structure. What would NOT be one of your supporting rationales for this change?

Accepted Answer

The rationale listed in option E is not in support of a highly centralized organizational structure. Instead, it emphasizes the importance of considering the relatedness and key value chain activities of businesses when deciding on how to reconfigure the organization.

Question 12

Coordinating the work efforts of internal organization units is best accomplished by

Accepted Answer

Having closely related activities report to a single executive who has authority and organizational clout is the best way to coordinate work efforts among different internal organization units. This person can oversee the work and ensure that all necessary actions are being taken, and has the power to hold individuals and departments accountable for their contributions to the project or goal. This approach ensures that everyone is working towards the same objective and that there is effective communication and collaboration among units.

Question 13

A primary disadvantage of a centralized organizational structure is that it results in

Accepted Answer

A centralized structure typically involves decision-making authority being concentrated at the upper levels of the organization, which can result in slower response times and lower levels of initiative among lower-level managers and employees. They may feel that their input is not valued and hesitate to take action without explicit direction from higher-ups.

Question 14

A company must do all of the following to match structure to strategy EXCEPT

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Question 15

The principal advantage of a decentralized organizational structure is that it can

Accepted Answer

A decentralized organizational structure reduces the layers of management, giving lower-level managers and employees more freedom to exercise their judgment, take initiative, and act responsibly. This can lead to a more efficient and effective organization, as decision-making is spread out across the company, instead of being concentrated at the top. It can also foster a culture of accountability and empowerment, where employees feel more invested in the success of the company.

Question 16

Delegating greater authority to subordinate managers and employees

Accepted Answer

Delegating greater authority to subordinate managers and employees creates a more horizontal or flatter organizational structure with fewer management layers and usually acts to shorten organizational response times. This is because decision-making is pushed down to lower levels, making the organization more agile and responsive to changes.

Question 17

A decentralized organizational structure is predicated on the belief that

Accepted Answer

A decentralized organizational structure is based on the principle that decision-making authority should be pushed down to the lowest level of the organization that is capable of making timely and informed decisions. This is because the individuals closest to the work are often in the best position to make decisions about how it should be done. Decentralization empowers employees, improves decision-making speed and accuracy, and helps the company adapt to changes in its environment.

Question 18

A network structure is likely to be poorly managed if

Accepted Answer

A network structure is designed to be decentralized without a central control, allowing independent organizations to work together towards a common goal. However, this lack of central control also means that the management of the network structure can be challenging as there may be conflicts, communication breakdowns, and decision-making difficulties among the partners. Therefore, a poorly managed network structure is likely to occur when there is no effective governance, coordination, or trust among the partners, leading to inefficiencies, delays, and conflicts in achieving the desired outcomes. Hence, option E is the best choice as it reflects the potential problem that can arise in a network structure due to the absence of central control.

Question 19

How has Zara gone about building an organization capable of proficient strategy execution?

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Question 20

Diversified companies striving to capture the benefits of synergy between separate businesses have to be aware of all of the following challenges EXCEPT

Accepted Answer

Forming cross-business strategic fit by enforcing close collaboration is not a challenge but rather a goal or benefit of achieving synergy in diversified companies.

Quiz 10: Building an Organization Capable of Good Strategy Execution