Question 1

How would you describe Amazon's commitment to continuous evolution?

Accepted Answer

A strategic plan represents an "educated guess" about long-term goals or direction to pursue for the survival or prosperity of the organization.

Question 2

Contrast strategic, tactical, and operational planning, explaining the time frame associated with each type.

Accepted Answer

The answer of Contrast strategic, tactical, and operational planning, explaining...

Question 3

This question contains two parts; be sure to answer each part. First, define strategic management, explaining how managers from all parts of the organization are involved and the three types of planning that are a part of strategic management. Next, imagine that you are planning to open a bagel shop. Give specific examples of each of the three types of planning with regard to your bagel shop.

Accepted Answer

The answer of This question contains two parts; be sure...

Question 4

Which of the following is not a step in the process of management by objectives (MBO)?

Accepted Answer

Management by objectives (MBO) is a four-step process in which (1) managers and employees jointly set objectives for the employee, (2) managers develop action plans, (3) managers and employees periodically review the employee's performance, and (4) the manager makes a performance appraisal and rewards the employee according to results.

Question 5

You plan to open a new business. Before you can approach the small-business loan center, you will have to have a strong plan. Write a one-paragraph business model description for a business of your choice.

Accepted Answer

The answer of You plan to open a new business....

Question 6

This question has multiple parts; be sure to answer each one.
First, explain how a company's approach to planning and its mission become translated into action plans.
Second, imagine that you have just purchased a local pizza restaurant. There are three other similar restaurants in the city, and yours is the smallest. Write a mission statement and a vision statement, and create an action plan for achieving your vision.

Accepted Answer

The answer of This question has multiple parts; be sure...

Question 7

Which of the following is a tactical goal?

Accepted Answer

A tactical goal, also known as a short-term goal or operational goal, typically spans 12 months and is connected to strategic (long-term) goals in a hierarchy known as a means-end chain.

Question 8

Which sequence of goals is consistent with "cascading" goals that begin at the top of the organization?

Accepted Answer

Top managers set strategic goals, which are translated into divisional goals, which are translated into departmental goals, which are translated into individual goals.

Question 9

As a manager, you meet with each of your team members quarterly to review their progress toward their written and agreed-upon goals. One of your employees, Julie, had a goal of increasing sales in her territory by 10 percent in the first quarter of the year. However, when you review Julie's sales numbers, you see that her sales have actually gone down. You know Julie is a hard worker and has an excellent relationship with her customers. When you sit down to discuss her performance, she explains what is happening in her territory. A major automobile manufacturer, which once provided 25,000 jobs, has moved its operations to Mexico and laid off all 25,000 of its workers. As a result, the economy in Julie's region has become quite depressed, and the residents are living off their savings. Taking the steps of the planning/control cycle into account, what is your best course of action with Julie?

Accepted Answer

In the planning/control cycle, managers control the direction by taking corrective action in two ways-namely by correcting deviations in the plan being carried out or by improving future plans. In this case, improving future plans is the best decision.

Question 10

________ is the overall goal of MBO.

Accepted Answer

The purpose of MBO (management by objectives) is to motivate rather than control subordinates.

Question 11

The textbook makes four key recommendations to help you become a proactive learner. Use these recommendations to set a goal of obtaining a job after graduation that is interesting and provides a good salary. Given that this is a long-term goal, be sure to explain how you will use the advice between now and the time you graduate.

Accepted Answer

The answer of The textbook makes four key recommendations to...

Question 12

Grayson wants to rethink the visitor experience to his theme parks. He meets with the customer service team who represents the parking attendants, the ticket sales agents, the information booth workers, the grounds keepers, and the ride attendants. Grayson wants them to change how they interact with the park patrons. He tells them all to, "Welcome each visitor to the park with a smile, a kind word, and an offer of assistance." How would you describe his change?

Accepted Answer

Grayson's instruction to welcome each visitor to the park with a smile, a kind word, and an offer of assistance is a specific behavior that he wants the customer service team to exhibit. Therefore, it is a behavioral objective.

Question 13

Which of the following is an example of a rule?

Accepted Answer

A rule is a standing plan that designates specific required action.

Question 14

Describe the components of a business model.

Accepted Answer

The answer of Describe the components of a business model....

Question 15

Jeanine, the operations manager of an auto dealership, has been redesigning operations. She feels there are many places where the dealership can cut costs to save money. One of these is all the "perks" for customers like free coffee, freshly popped popcorn, and a children's play area. Assume you are the general manager of the dealership (Jeanine's boss) and an advocate of the planning/control cycle, what would you do?

Accepted Answer

As an advocate of the planning/control cycle, it is important to make changes and then evaluate the impact of those changes before making any further decisions. Therefore, having Jeanine implement the change to cut the perks, monitoring sales and expenses for a period of time, and then evaluating if corrective action is necessary aligns with the principles of the planning/control cycle.

Question 16

While preparing a self-assessment of your job performance the previous year, you are required to list three goals for the coming year. You list the following as one of your goals: "I will triple sales in my territory by the end of the next fiscal year." Based on the SMART criteria, what is the problem with this goal?

Accepted Answer

A SMART goal is one that is Specific, Measurable, Attainable, Results-oriented, and has Target dates. Tripling sales in one year is most likely not attainable.

Question 17

Kaleb is preparing for an interview. He has reviewed his résumé, prepared his questions, and thought through answers for the top questions most asked in interviews. He feels well prepared. At the interview, he is asked to respond to a scenario question in which a problem is presented. Why is the interviewer asking this type of question?

Accepted Answer

Critical thinking/problem solving is a foundational career-readiness skill for good planning. The competency of critical thinking/problem solving is defined as sound reasoning to analyze situations, make decisions, and solve problems. Critical thinkers don't make quick or rash decisions during the planning process. Instead, they consider alternative solutions to problems and remain open-minded. They remain open-minded by obtaining and considering a wide range of information before making a judgment.

Question 18

Management by objectives (MBO) and goal cascading will NOT work without an effective

Accepted Answer

Management by objectives and goal cascading will not work without an effective goal-setting process.

Question 19

________ are at the top of the organization and get more specific as they move toward ________.

Accepted Answer

Cascading goals is the process of ensuring that the strategic goals set at the top level align, or "cascade," downward with more specific short-term goals at lower levels within an organization, including employees' objectives and activities.

Question 20

Mark Zuckerberg stated that Facebook's early idea was to "Move fast and break things." He set that as his strategy for the company. Was he using the concept of strategy correctly?

Accepted Answer

A strategy sets the long-term goals and direction for an organization. "Move fast and break things" was a Facebook slogan for a time; it is not a strategy.

Quiz 5: Planning: the Foundation of Successful Management