Question 1

What are the qualities of a "well-stated" objective? Give an example of a well-stated financial objective and a well-stated strategic objective.

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Question 2

The key duties of a company's board of directors in the strategy-making,strategy-executing process include:

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Question 3

The achievement of financial objectives tends to be a lagging indicator of a company's performance,while the achievement of strategic objectives tends to be a leading indicator of a company's future financial performance.True or false? Support and explain your answer.

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Acompany's financial performance measures are really lagging indicators that reflect the results of past decisions and organizational activities.But a company's past or current financial performance is not a reliable indicator of its future prospects-poor financial performers often turn things around and do better,while good financial performers can fall upon hard times.The best and most reliable leading indicators of a company's future financial performance and business prospects are strategic outcomes that indicate whether the company's competitiveness and market position are stronger or weaker.The accomplishment of strategic objectives signals that the company is well positioned to sustain or improve its performance. Explanation:

Question 4

What is the difference between a mission statement and a strategic vision?

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Question 5

What are the five integrated tasks of the strategy-making,strategy-executing process,and what does each one involve?

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Question 6

What is meant by the term "stretch objectives?" Is it important that companies establish stretch objectives? Why or why not?

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Question 7

In the strategy-making,strategy-executing process,effective corporate governance requires a company's board of directors to:

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Effective corporate governance requires the board of directors to oversee the company's strategic direction, evaluate the caliber of senior executives' skills, handle executive compensation, and oversee financial reporting practices. While the board may participate in strategy-making, its primary role is to provide oversight and guidance to senior executives in executing the strategy. The CEO and senior executives are responsible for developing the company's strategic plan and carrying out the board's directives.

Question 8

Explain the difference between financial objectives and strategic objectives.Give examples of each.

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Question 9

Which one of the following is NOT among the chief duties/responsibilities of a company's board of directors insofar as the strategy-making,strategy-executing process is concerned?

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Question 10

A well-conceived strategic vision helps prepare a company for the future.True or false? Explain and justify your answer.

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A well-conceived strategic vision is distinctive and specific to a particular organization; it avoids generic, feel-good statements like "We will become a global leader and the first choice of customers in every market we serve." The real purpose of a vision statement is to serve as a management tool for giving the organization a sense of direction. A well-thought-out, forcefully communicated strategic vision pays off in several respects: (1)it crystallizes senior executives' own views about the firm's long-term direction; (2)it reduces the risk of rudderless decision making; (3)it is a tool for winning the support of organization members to help make the vision a reality; (4)it provides a beacon for lower-level managers in setting departmental objectives and crafting departmental strategies that are in sync with the company's overall strategy; and (5)it helps an organization prepare for the future. When top executives are able to demonstrate significant progress in achieving these five benefits, the first step in organizational direction setting has been successfully completed.

Question 11

Who is responsible for actually performing the five phases of the strategy-making,strategy-executing process? Explain?

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Question 12

Define and briefly explain what is meant by each of the following terms.
a)strategic vision
b)stretch objectives
c)strategic objective
d)balanced scorecard
e)strategic intent

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Question 13

Identify the key characteristics of a well-stated organizational objective.

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Question 14

What is the meaning of the term "balanced scorecard"? What are the merits of using a balanced scorecard in judging a company's performance?

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Question 15

Explain why an organization needs a strategic vision.What purpose does a strategic vision serve?

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Question 16

Which is more important-a company's mission statement or its strategic vision? Explain.

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Question 17

Every corporation should have a strong independent board of directors that:

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All of these options describe important responsibilities of a strong independent board of directors. They should be well-informed and exercise their fiduciary duty to protect shareholders, provide guidance and make independent judgment about strategic actions, evaluate leadership skills, and have the courage to curb inappropriate or unduly risky management actions while providing insight and advice to management. It's important for a board of directors to have a range of perspectives and skills, and to prioritize the interests of the company and its shareholders over personal interests.

Question 18

Which is more important to a company's future financial performance-the achievement of strategic objectives or the achievement financial objectives? Why?

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Question 19

What is the managerial value of a good strategic vision?

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Question 20

Why does an organization need both financial and strategic objectives?

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Quiz 2: Charting a Companys Direction: Its Vision, Mission, Objectives, and Strategy