Question 1

A balanced scorecard is a system for translating vision and strategy into tangible performance measurements.

Accepted Answer

A balanced scorecard is a strategic performance management tool that helps organizations align their vision and strategy with tangible goals and measurements. It typically includes financial, customer, internal processes, and learning and growth perspectives, allowing organizations to assess and monitor their performance in these areas.

Question 2

Employees, customers, governments, and even competitors may be considered stakeholders.

Accepted Answer

All of these groups can have a stake or interest in a company's actions and decisions.

Question 3

Organizational performance is positively correlated with the integration of internal stakeholders.

Accepted Answer

When internal stakeholders, such as employees and departments, are integrated and working together towards a common goal, organizational performance tends to improve as communication and collaboration are enhanced.

Question 4

An effective strategic purpose must be tied to a coherent set of activities, goals, and objectives anchored in measurable strategic outcomes.

Accepted Answer

A strategic purpose that is not supported by specific activities, goals, and objectives, and that cannot be measured in terms of outcomes, is unlikely to be effective. A clear and coherent strategy requires these elements to ensure that efforts are focused and results can be tracked and evaluated.

Question 5

The top-management team is an important stakeholder group because of their ultimate role in strategy implementation.

Accepted Answer

Top-management team is responsible for setting the overall strategy and ensuring its successful implementation. Therefore, they are an important stakeholder group in strategy implementation.

Question 6

A firm's decision to grow rapidly through acquisitions is consistent with a corporate strategy aimed at differentiating its product line.

Accepted Answer

Rapid growth through acquisitions is often associated with a corporate strategy aimed at achieving consolidation or cost reduction, rather than differentiation of the product line.

Question 7

Product-market stakeholders include parties with whom the firm shares the industry, including suppliers and customers.

Accepted Answer

Product-market stakeholders are those parties who are directly involved in the industry in which the firm operates. This includes suppliers who provide the firm with the necessary resources and materials to produce its products, and customers who purchase the firm's products.

Question 8

Coherence is an alignment of the strategy with the industry environment and the vision of how the firm will be positioned in that environment in the future.

Accepted Answer

Coherence requires alignment between strategy, industry environment, and future positioning.

Question 9

Strategic coherence is the symmetrical coalignment of the five elements of the firm's strategy, the congruence of functional-area policies with these elements, and the overarching fit of various businesses under the corporate umbrella.

Accepted Answer

Strategic coherence refers to the alignment of various elements of the firm's strategy, functional area policies, and corporate umbrella. Therefore, the statement is true.

Question 10

Because they are general and ambiguous, mission and vision statements serve little strategic purpose.

Accepted Answer

Mission and vision statements provide a broad direction and focus for an organization's strategy, and can serve as a unifying force for employees and stakeholders. While they may be general and ambiguous, they are still important tools for guiding decision-making and goal-setting.

Question 11

Goals are a broad indication of organizational intentions.

Accepted Answer

Goals are a broad statement of the anticipated outcome of an organization's actions or efforts. They serve as a guide for decision-making and provide direction for the organization's activities.

Question 12

Different stakeholders place similar emphasis on organizational outcomes because of similar priorities.

Accepted Answer

Different stakeholders often have diverse priorities and interests, which lead them to place varying emphasis on different organizational outcomes.

Question 13

Goals and objectives are statements of organizational identity and purpose that can guide executives in making corporate decisions.

Accepted Answer

Goals and objectives are specific targets and measurable outcomes an organization aims to achieve; they guide actions and decisions but are not statements of organizational identity and purpose. Organizational identity and purpose are typically reflected in the mission and vision statements.

Question 14

Strategic purpose is defined as a simplified model of the organization and its future, including anticipated changes in environment.

Accepted Answer

This statement accurately defines strategic purpose as a forward-looking model of the organization and the environment it operates in, with consideration for changes that may occur in the future.

Question 15

Stakeholder analysis allows managers to gain a better understanding of the groups and individuals who have a vested interest in the firm's strategy and some influence on the firm's performance.

Accepted Answer

This statement is true. Stakeholder analysis helps managers identify and prioritize different stakeholders, their interests and power, and how they are or could be affected by the firm's strategy and performance. This information can guide managers in making strategic decisions, building relationships, and managing risks and opportunities related to different stakeholder groups.

Question 16

Objectives are specific measurable steps for reaching goals.

Accepted Answer

Objectives are specific, measurable, achievable, relevant, and time-bound steps that are taken to achieve goals.

Question 17

Typically, stakeholder evaluation of both quantitative and qualitative performance outcomes determines whether strategic leadership is effective.

Accepted Answer

Stakeholder evaluation looks at both quantitative (measurable) and qualitative (subjective) performance outcomes to determine the effectiveness of strategic leadership.

Question 18

Strategic coherence is best demonstrated by firms that move in and out of new businesses.

Accepted Answer

Strategic coherence is best demonstrated by firms that have a clear and consistent strategy, rather than constantly changing and shifting their focus. Moving in and out of new businesses may indicate a lack of coherence and focus in their overall strategy.

Question 19

Organizational stakeholders include shareholders, banks, and other financial intermediaries.

Accepted Answer

The answer of Organizational stakeholders include shareholders, banks, and other...

Question 20

Stakeholders are individuals or groups who have an interest in an organization's ability to deliver intended results and maintain the viability of its products and services.

Accepted Answer

This is the definition of stakeholders.

Quiz 2: Leading Strategically Through Effective Vision and Mission