Question 1

For firms competing in highly unstable and turbulent industries,"traditional" strategic controls are most appropriate.

Accepted Answer

A) True 
 B)False

Question 2

What are the "traditional" approaches to strategic control?

Accepted Answer

Traditional control mechanisms rely on m...

Question 3

"Contemporary" strategic controls involve comparing actual performance to predetermined goals.

Accepted Answer

A) True 
 B)False

Question 4

In terms of corporate culture,Cirque du Soleil's focus is on customer service,not innovation.

Accepted Answer

A) True 
 B)False

Question 5

Which of the following is not one of the characteristics of a contemporary control system?

Accepted Answer

A)   It is a key catalyst for an ongoing debate about underlying data, assumptions, and action plans.
B)   It must focus on constantly changing information that is strategically important.
C)   It circumvents the need for face-to-face meetings among superiors, subordinates, and peers.
D)   It generates information that is important enough to demand regular and frequent attention.E) A) and B)
F) A) and C)

Question 6

Discuss the contingent nature of strategic controls.How would controls be different for firms pursuing overall low costs strategies versus differentiation strategies?

Accepted Answer

There is no "one best way" to design str...

Question 7

Stock analysts generally issue more "sell" recommendations than "buy" recommendations.

Accepted Answer

A) True 
 B)False  False

Question 8

In firms with related diversification strategies,the culture should foster _____ levels of interdependence and rewards should be based primarily on _____ measures of output.

Accepted Answer

A)   low; financial
B)   low; behavioural
C)   high; financial
D)   high; behaviouralE) B) and C)
F) C) and D)

Question 9

Boundaries and constraints,when used properly,can minimize improper and unethical conduct.

Accepted Answer

A) True 
 B)False

Question 10

Once a strong and healthy organizational culture has been established,it becomes self-sustaining.

Accepted Answer

A) True 
 B)False

Question 11

All of the following are examples of how organizational culture exerts behavioural control except

Accepted Answer

A)   culture helps maintain control by creating behavioural norms.
B)   culture generates unwritten standards of acceptable behaviour.
C)   culture encourages individual identification with the organization and its objectives.
D)   culture sets explicit boundaries.E) C) and D)
F) A) and C)

Question 12

In a corporation,the primary participants include all except

Accepted Answer

A)   the shareholders
B)   the employees
C)   management (led by the CEO) 
D)   the board of directorsE) B) and C)
F) A) and D) B

Question 13

External control mechanisms include all of the following except

Accepted Answer

A)   auditors.
B)   analysts.
C)   competitors.
D)   the market for corporate control.E) B) and C)
F) A) and D)

Question 14

Discuss the benefits of using reward and incentive systems as a means of strategic control.

Accepted Answer

Reward and incentive systems r...

Question 15

Behavioural control systems use culture,rewards,and boundaries in a balanced and consistent way to achieve results.

Accepted Answer

A) True 
 B)False  True

Question 16

Discuss at least three external control mechanisms.

Accepted Answer

Several external governance control mech...

Question 17

Which of the following approaches to behavioural strategic control should be utilized least in an organization in which there is a great need for innovation and a high degree of autonomy?

Accepted Answer

A)   Culture
B)   Rewards
C)   Boundaries
D)   All of the choices are equally importantE) All of the above
F) A) and D)

Question 18

Feedback-based control systems measure outcomes and serve as a guide to corrective action.

Accepted Answer

A) True 
 B)False

Question 19

What are the four characteristics of effective contemporary control systems?

Accepted Answer

Contemporary control systems must have f...

Question 20

In firms with differentiation strategies,the culture should foster _____ levels of interdependence and rewards should be based primarily on _____ measures of output.

Accepted Answer

A)   low; financial
B)   low; behavioural
C)   high; financial
D)   high; behaviouralE) A) and B)
F) A) and C)

Exam 10: Creating Effective Organizational Designs

For firms competing in highly unstable and turbulent industries,"traditional" strategic controls are most appropriate.

Correct AnswerverifiedShow Answer

What are the "traditional" approaches to strategic control?

Correct AnswerverifiedTraditional control mechanisms rely on m...View AnswerShow Answer

"Contemporary" strategic controls involve comparing actual performance to predetermined goals.

Correct AnswerverifiedShow Answer

In terms of corporate culture,Cirque du Soleil's focus is on customer service,not innovation.

Correct AnswerverifiedShow Answer

Which of the following is not one of the characteristics of a contemporary control system?

Correct AnswerverifiedShow Answer

Discuss the contingent nature of strategic controls.How would controls be different for firms pursuing overall low costs strategies versus differentiation strategies?

Correct AnswerverifiedThere is no "one best way" to design str...View AnswerShow Answer

Stock analysts generally issue more "sell" recommendations than "buy" recommendations.

Correct AnswerverifiedFalse

In firms with related diversification strategies,the culture should foster _____ levels of interdependence and rewards should be based primarily on _____ measures of output.

Correct AnswerverifiedShow Answer

Boundaries and constraints,when used properly,can minimize improper and unethical conduct.

Correct AnswerverifiedShow Answer

Once a strong and healthy organizational culture has been established,it becomes self-sustaining.

Correct AnswerverifiedShow Answer

All of the following are examples of how organizational culture exerts behavioural control except

Correct AnswerverifiedShow Answer

In a corporation,the primary participants include all except

Correct AnswerverifiedB

External control mechanisms include all of the following except

Correct AnswerverifiedShow Answer

Discuss the benefits of using reward and incentive systems as a means of strategic control.

Correct AnswerverifiedReward and incentive systems r...View AnswerShow Answer

Behavioural control systems use culture,rewards,and boundaries in a balanced and consistent way to achieve results.

Correct AnswerverifiedTrue

Discuss at least three external control mechanisms.

Correct AnswerverifiedSeveral external governance control mech...View AnswerShow Answer

Which of the following approaches to behavioural strategic control should be utilized least in an organization in which there is a great need for innovation and a high degree of autonomy?

Correct AnswerverifiedShow Answer

Feedback-based control systems measure outcomes and serve as a guide to corrective action.

Correct AnswerverifiedShow Answer

What are the four characteristics of effective contemporary control systems?

Correct AnswerverifiedContemporary control systems must have f...View AnswerShow Answer

In firms with differentiation strategies,the culture should foster _____ levels of interdependence and rewards should be based primarily on _____ measures of output.

Correct AnswerverifiedShow Answer

Correct Answer
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Traditional control mechanisms rely on m...
View Answer

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There is no "one best way" to design str...
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False

In firms with related diversification strategies,the culture should foster _ levels of interdependence and rewards should be based primarily on _ measures of output.

Correct Answer
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B

Correct Answer
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Reward and incentive systems r...
View Answer

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True

Correct Answer
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Several external governance control mech...
View Answer

Correct Answer
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Correct Answer
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Correct Answer
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Contemporary control systems must have f...
View Answer

In firms with differentiation strategies,the culture should foster _ levels of interdependence and rewards should be based primarily on _ measures of output.

Correct Answer
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