Question 1

Building an organization capable of good strategy execution entails:
A) staffing the organization,acquiring,developing,and strengthening key resources and competitive capabilities,and structuring the organization and work effort.
B) decentralizing authority for performing strategy-critical value chain activities,establishing at least two distinctive competencies,and hiring talented employees.
C) investing heavily in employee training,using an empowered organization design and organization structure in order to maximize labor productivity,and employing effective incentive compensation systems.
D) centralizing authority in the hands of a chief strategy implementer so as to create the leadership authority for driving implementation forward at a rapid pace.
E) empowering employees,maximizing internal operating efficiency,and optimizing core competencies.

Accepted Answer

Building an organization capable of good strategy execution entails staffing the organization, acquiring, developing, and strengthening key resources and competitive capabilities, and structuring the organization and work effort. This includes ensuring that the right people are in the right roles, providing opportunities for employee training and development, acquiring and leveraging key resources and capabilities, and designing an organizational structure that aligns with the company's strategy execution goals.

Question 2

In formulating an action agenda to implement and execute a new or different strategy,the place for managers to begin is with:
A) the task of revising and enhancing the company's core competencies.
B) choosing which leadership style to employ in trying to carry out the strategy successfully.
C) evaluating whether existing policies and procedures are adequately strategy-supportive.
D) allocating more resources to strategy-critical parts of the business.
E) a probing assessment of what the organization must do differently and better to carry out the strategy successfully.

Accepted Answer

The best place for managers to begin in formulating an action agenda is with a probing assessment of what the organization must do differently and better to carry out the strategy successfully. This will help identify the gaps and areas that need improvement or change for successful execution of the strategy. Once the assessment is done, managers can allocate resources, evaluate policies and procedures, revise competencies and choose leadership styles accordingly.

Question 3

Which of the following does NOT exemplify a policy or procedure that facilitates strategy execution?
A) A nonprofit agency that addresses only specific societal problems through public services
B) A toy manufacturing company that plans on reaching three different segments of the market
C) A fast food joint that has an onsite kindergarten and provides afterschool programs for its employees' children
D) A sporting goods seller that monitors consumers' preferences for gear and accessories on its blog
E) A bedding linen manufacturing company that recycles its water to cool the machines in the factory

Accepted Answer

The fast food joint's onsite kindergarten and afterschool programs are employee benefits and do not directly facilitate strategy execution related to the company's core business operations.

Question 4

The principal managerial components of the strategy execution process include:
A) deciding how much to spend on employee training.
B) instituting policies and procedures that facilitate strategy execution and tying rewards and incentives to the achievement of strategic and financial targets.
C) doing an effective job of empowering employees.
D) revamping the value chain in a manner calculated to maximize operating efficiency.
E) selecting a capable top management team.

Accepted Answer

Instituting policies and procedures that facilitate strategy execution and tying rewards and incentives to the achievement of strategic and financial targets are essential components in ensuring successful execution of the strategy. This helps in aligning the efforts of employees towards achieving the company's goals. Deciding how much to spend on employee training, empowering employees, revamping the value chain, and selecting a capable top management team, while important, are not the principal managerial components of the strategy execution process.

Question 5

Which of the following is NOT among the principal managerial components of the strategy execution process?
A) Building an organization with the competencies,capabilities,and resource strengths needed to execute strategy successfully
B) Instituting policies and procedures that facilitate rather than impede strategy execution
C) Deciding which core competencies and value chain activities to leave as is and which ones to overhaul and improve
D) Adopting best practices and pushing for continuous improvement in how value chain activities are performed
E) Tying rewards directly to the achievement of strategic and financial targets and to good strategy execution

Accepted Answer

The other options (A, B, D, E) are all principal managerial components of the strategy execution process. Choice C, deciding which core competencies and value chain activities to leave as is and which ones to overhaul and improve, is not one of the principal managerial components, but rather an aspect that must be considered in the process of developing a strategy.

Question 6

When strategies fail,it is often because of:
A) poor execution of the strategy.
B) shortfalls exposed with the strategic management design process.
C) inadequate support for the management team responsible for the planning process.
D) secondary operating practices that hinder the required changes.
E) lack of sufficient information about operating systems.

Accepted Answer

Poor execution of the strategy is a common reason for strategies to fail, as even the most well-crafted strategy can be ineffective if it is not properly implemented. Shortfalls in the strategy design process, inadequate support for the management team, secondary operating practices, and lack of information can all contribute to poor execution. However, ultimately it is the execution of the strategy that determines its success or failure.

Question 7

Ultimate responsibility for seeing that a strategy is executed successfully primarily falls upon the shoulders of:
A) a company's chief executive officer,its chief operating officer,and the heads of major units (business divisions,functional departments,and key operating units).
B) first-line supervisors who have the day-to-day responsibility of seeing that key value chain activities are done properly.
C) the company's board of directors because board members are the final authority in overseeing and conducting daily operations.
D) a company's whole management team-each manager is responsible for attending to what needs to be done in his/her respective area of authority and thus should be held accountable for the strategy's success or failure.
E) all company personnel because all employees are active participants in the strategy execution process and the caliber of their actions have a huge impact on the ultimate outcome.

Accepted Answer

The ultimate responsibility for executing a company's strategy lies with the top management team, which includes the CEO, COO, and heads of major units. They set the direction for the organization, allocate resources, and monitor progress. However, successful execution requires the collaboration and involvement of all employees at every level, making choice E partially correct but not the best choice. Choice B is incorrect as first-line supervisors are responsible for overseeing tactical operations, not the overall strategy. Choice C is incorrect as the board of directors is responsible for governance, not daily operations. Choice D is incorrect as while managers have specific areas of authority, they are accountable to the top management team for executing the company's strategy.

Question 8

What does a good strategy execution require?
A) A team effort with all managers having strategy executing responsibility in their areas of authority,and making all employees active participants in the strategy execution process
B) Incremental changes to current operating practices be implemented to ensure existing resource capabilities are not impacted too severely
C) Little consensus building,despite the magnitude of the proposed changes,because employees know the benefits gained from the planning process
D) The strategy-critical value chain activities to be simplified so that all company personnel can be cognizant of the benefits of the execution parameters
E) Additional investments in capital projects rather than adding to a company's talent base and building intellectual capital

Accepted Answer

A good strategy execution requires a team effort, with all managers being responsible for executing the strategy in their areas, and all employees actively participating in the process.

Answer: B, D, and E are incorrect.
 B is incorrect because sometimes incremental changes may not be enough to achieve the desired results, requiring major changes to current operating practices. D is incorrect because simplifying the strategy-critical value chain activities may not be possible in many cases. E is incorrect because investing in capital projects alone may not be sufficient to execute the strategy, and building intellectual capital is an essential requirement for long-term success.

Question 9

Executing strategy is a make-things-happen task that tests a manager's ability to perform all of the following EXCEPT:
A) manage the people,talents,and business processes of an operations-driven activities company.
B) direct organizational change and achieve continuous improvement in operations and business processes.
C) create and nurture a strategy-supportive culture.
D) meet or beat performance targets consistently.
E) focus on market conditions and the company's resources and capabilities.

Accepted Answer

The answer of Executing strategy is a make-things-happen task that...

Question 10

The two best signs of good strategy execution are whether:
A) the company is challenging its current performance targets and whether value chain activities are fully integrated within the strategic response criteria.
B) managers are personally leading the change process and whether they are meeting deadlines set for budgetary requirements.
C) the company is meeting or beating its performance targets and whether it is performing value chain activities in a manner that is conducive to companywide operating excellence.
D) managers are fully behind the changes and whether the company's value chain managers are executing them diligently.
E) the company identifies what the organization must do and how to make the necessary internal changes.

Accepted Answer

The two best signs of good strategy execution are whether the company is meeting or beating its performance targets and whether it is performing value chain activities in a manner that is conducive to companywide operating excellence. This indicates that the company has successfully implemented its strategy and is achieving the desired outcomes. The other options may also be indicators of good strategy execution, but they are not as strong as the two mentioned in option C.

Question 11

The most important leadership trait in the strategy execution process is:
A) a strong,confident sense of what to do and how to do it.
B) strong communication skills (both written and verbal)covering motivating intent.
C) strong management skills to ensure a systematic approach to administration.
D) strong organizational skills so as to make actions structured toward results.
E) strong empathy skills when employees run into challenging moments.

Accepted Answer

The answer of The most important leadership trait in the...

Question 12

Which of the following statements falsely characterizes the managerial task of executing strategy?
A) Executing strategy is an action-oriented,make-things-happen task.
B) Executing strategy tests a manager's ability to direct organizational change,achieve continuous improvement in operations and business processes,create and nurture a strategy-supportive culture,and consistently meet or beat performance targets.
C) Implementing new strategic initiatives principally involves employing managerial techniques to overcome resistance to change.
D) Executing strategy requires a team effort which entails that every manager think through the answer to "What does my area have to do to implement its part of the strategic plan,and what should I do to get these things accomplished effectively and efficiently?"
E) Implementing and executing strategy is primarily an operations-driven activity revolving around the management of people and business processes.

Accepted Answer

Implementing new strategic initiatives involves more than just employing managerial techniques to overcome resistance to change. It requires aligning resources, reconfiguring the organization, and making necessary changes to the strategy itself. While managerial techniques are important for implementing change, they are not the only factor involved in executing strategy.

Question 13

The managerial approach to implementing and executing a strategy should always:
A) be customized to fit the particulars of a company's situation.
B) involve only minor changes to the existing strategy.
C) require radical strategy changes for successful execution.
D) rely on the active support of frontline employees.
E) focus on market conditions and the company's resources and capabilities.

Accepted Answer

The managerial approach to implementing and executing a strategy should always be customized to fit the particulars of a company's situation. This means that the approach should take into consideration the unique characteristics of the company, such as its culture, resources, capabilities, and market conditions. A "one size fits all" approach is unlikely to work for most companies, given their individual differences. Therefore, a customized approach is essential for successful execution of a strategy.

Question 14

What makes the managerial task of executing strategy so challenging and demanding is:
A) the trial-and-error experimentation that is required to come up with a workable organizational structure.
B) the people-management skills required,the resistance to change that has to be overcome,and the perseverance necessary to get a variety of initiatives launched and kept moving along.
C) the time and effort it takes to build core competencies.
D) the time,training,and creative effort it takes to empower employees and teach them responsible decision making.
E) the supervisory requirements associated with getting company personnel to do things the right way.

Accepted Answer

The managerial task of executing strategy involves a range of challenges and demands, such as managing people, overcoming resistance to change, and keeping initiatives moving along. Building core competencies, empowering employees, and supervising personnel are all important aspects of strategy execution, but they are not the primary factors that make it so challenging and demanding. Ultimately, success in executing strategy depends on the ability to lead and manage people effectively, and to consistently make strategic decisions that support the organization's goals and objectives.

Question 15

Implementing and executing a company's strategy:
A) is primarily the job of the company's board of directors since they direct the actions and policies of the top senior executives in executing the strategy.
B) is a task for every manager and the whole management team,but ultimate responsibility for success or failure falls upon the top senior executives,especially the chief executive officer of the company.
C) is primarily a responsibility of all company personnel because all personnel are active participants in the strategy execution process and their actions have a huge impact on the ultimate outcome.
D) should be delegated to a chief strategy implementer appointed by the chief executive officer.
E) is primarily a task for middle and lower-level managers because it is they who have responsibility for pushing the needed changes all the way down to the lowest levels of the organization.

Accepted Answer

Implementing and executing a company's strategy is a task for every manager and the entire management team. However, the ultimate responsibility for the success or failure of the strategy falls upon the top senior executives, particularly the CEO. The board of directors plays a role in directing the actions and policies of senior executives, but they do not execute the strategy themselves. All employees are involved to some extent in the strategy execution process, but it is primarily the responsibility of the management team to push the necessary changes throughout the organization. While a chief strategy implementer could be appointed, the ultimate responsibility for success or failure still falls on the senior executives.

Question 16

The three components of building a capable organization are:
A) making periodic changes in the firm's internal organization to keep people from getting into a comfortable rut,instituting a decentralized approach to decision making,and developing the appropriate competencies and capabilities.
B) hiring a capable top management team,empowering employees,and establishing a strategy-supportive corporate culture.
C) putting a centralized decision-making structure in place,determining who should have responsibility for each value chain activity,and aligning the corporate culture with key policies,procedures,and operating practices.
D) staffing the organization,acquiring,developing,and strengthening key resources and competitive capabilities,and structuring the organization and work effort.
E) optimizing the number of core competencies and competitive capabilities,making sure that all managers and employees are empowered,and maximizing internal operating efficiency.

Accepted Answer

The three components of building a capable organization involve staffing the organization effectively, acquiring, developing, and strengthening key resources and competitive capabilities, and structuring the organization and work effort to support strategic execution.

Question 17

While ultimate responsibility for implementing and executing strategy falls upon the shoulders of senior executives:
A) top-level managers still have to rely on the active support and cooperation of middle and lower-level managers in pushing needed changes in functional areas and operating units.
B) the pivotal and most decisive strategy-implementing actions are carried out by frontline supervisors who have the day-to-day responsibility of seeing that key activities are done properly.
C) it is a company's employees who most determine whether the drive for good strategy execution will succeed or fail.
D) the success or failure of the implementation/execution effort hinges chiefly on doing an effective job of empowering employees to make day-to-day operating decisions that support good strategy execution.
E) the success or failure of the implementation/execution effort hinges chiefly on a company's reward system and whether its policies and procedures are strategy-supportive.

Accepted Answer

While senior executives hold the ultimate responsibility for implementing and executing strategy, they depend on the active support and cooperation of middle and lower-level managers in driving changes in functional areas and operating units. Therefore, top-level managers still have to rely on the help of others to make sure that the strategy is executed correctly.

Question 18

The approach to identifying the items needed to be placed on management's action agenda of the strategy execution plan always involves:
A) generalized activities that will underscore the particulars of the company's situation.
B) some definitive managerial recipe for successful strategy execution that works for all company situations and all types of strategies,or that works for all types of managers.
C) a set of unimportant managerial tasks that must be covered no matter what the circumstances.
D) senior management's judgment about how to proceed in light of prevailing circumstances.
E) a high-end differentiation strategy for proficient implementation and execution.

Accepted Answer

Identifying the items needed to be placed on management's action agenda of the strategy execution plan involves senior management's judgment about how to proceed in light of prevailing circumstances. This is because the specifics of the company's situation, the type of strategy, and the type of manager may vary and require unique approaches. Therefore, a customized approach is necessary, and senior management's judgment is vital in determining the action items for successful strategy execution.

Question 19

Management's handling of the strategy implementation/execution process can be considered successful:
A) when the internal organization develops two or more core competencies in performing value chain activities.
B) if and when the company meets or beats its performance targets and shows good progress in achieving its strategic vision for the company.
C) if the company's culture is strong and strategy-supportive.
D) if management is able to marshal adequate resources to put the strategy in place within 6 to 12 months.
E) if managers and employees express strong support for the company's strategy and long-term direction.

Accepted Answer

The success of strategy implementation/execution is best measured by whether the company meets or beats its performance targets and makes progress towards achieving its strategic vision. While having core competencies and a supportive culture are important factors, they alone do not determine the success of the strategy implementation process. Similarly, the time frame for putting the strategy in place and the level of support from employees and managers can vary depending on the specifics of the strategy and the company.

Question 20

Which of the following statements about implementing and executing a new strategy is true?
A) Executing strategy calls for essentially the same kinds of creative management talent and innovative thinking as does crafting strategy.
B) Executing strategy is chiefly a financially driven process aimed at squeezing the most profit out of conducting daily operations.
C) Executing strategy is a job for a company's whole management team,not just a few senior managers.
D) Executing strategy depends heavily on the caliber of a CEO's business vision,industry and competitive analysis skills,and entrepreneurial creativity.
E) Executing strategy tends to be a simpler,quicker management task to perform as compared to crafting a winning strategy.

Accepted Answer

Executing strategy is not just the responsibility of senior managers, but rather it requires the collaborative effort of the entire management team. This approach ensures a holistic and coordinated effort towards achieving the company's goals.

Quiz 10: Building an Organization Capable of Good Strategy Execution

Building an organization capable of good strategy execution entails:

In formulating an action agenda to implement and execute a new or different strategy,the place for managers to begin is with:

Which of the following does NOT exemplify a policy or procedure that facilitates strategy execution?

The principal managerial components of the strategy execution process include:

Which of the following is NOT among the principal managerial components of the strategy execution process?

When strategies fail,it is often because of:

Ultimate responsibility for seeing that a strategy is executed successfully primarily falls upon the shoulders of:

What does a good strategy execution require?

Executing strategy is a make-things-happen task that tests a manager's ability to perform all of the following EXCEPT:

The two best signs of good strategy execution are whether:

The most important leadership trait in the strategy execution process is:

Which of the following statements falsely characterizes the managerial task of executing strategy?

The managerial approach to implementing and executing a strategy should always:

What makes the managerial task of executing strategy so challenging and demanding is:

Implementing and executing a company's strategy:

The three components of building a capable organization are:

While ultimate responsibility for implementing and executing strategy falls upon the shoulders of senior executives:

The approach to identifying the items needed to be placed on management's action agenda of the strategy execution plan always involves:

Management's handling of the strategy implementation/execution process can be considered successful:

Which of the following statements about implementing and executing a new strategy is true?