Deck 5: Innovation: Evaluation and Control

Question 1

One of the key reasons for evaluation and control is:

A) leaders of firms change
B) boards of directors change
C) environments change
D) mid-level managers change
E) goals change

Answer 1

environments change

Question 2

Evaluation can be defined as:

A) Determining how well the organization is meeting its goals
B) Annual reviews of employees' work efforts
C) Correcting problems within the company
D) Monitoring the use of technology
E) Predicting this year's sales figures

Answer 2

Determining how well the organization is meeting its goals

Question 3

Control can be defined as:

A) where we are compared to where we want to be
B) the determination of how well the organization is meeting its goals
C) determining what actions to take to change the firm's results
D) re-thinking the business process
E) changing the compensation system so the firm is better networked

Answer 3

determining what actions to take to change the firm's results

Question 4

Cybernetic control is drawn from:

A) finance literature
B) accounting literature
C) European conceptualization
D) biology literature
E) marketing literature

Question 5

Evaluation and control should occur ____ as organizations monitor their current performance and make adjustments as needed or necessary to ensure accomplishment of performance goals in the organization.

A) Periodically
B) Constantly
C) Sporadically
D) Never
E) Once in awhile

Question 6

Asking the where we are now compared to where we want to be, what lies ahead that can affect us either positively or negatively, and where we will end up if we continue on this path is used to conduct:

A) control
B) the setting of tactical goals
C) strategic analysis
D) gap analysis
E) rewards for employees

Question 7

The evaluation between goals and outcomes is often referred to as a(n) ____ between desired outcomes and actual results.

A) gap analysis
B) control
C) control and evaluation
D) innovation
E) first mover

Question 8

To understand what lies ahead for a firm as part of the innovation evaluation and control effort the firm:

A) scans the environment
B) sticks to the strategic plan
C) establishes performance trends
D) compares current performance to predicted
E) conducts a gap analysis

Question 9

An emergent strategy is one:

A) that relates to emergent markets such as China
B) that occurs when a firm sees an unexpected opportunity and takes advantage of it
C) where the firm meets every week and updates the strategy from prior meeting
D) that is not written down, but instead comes through the actions of people
E) that is a strategy generated through a retreat in which managers meet until they develop a strategy

Question 10

For the firm deviation from the strategic plan should be viewed as ____.

A) negative
B) positive
C) depends on the nature of the deviation and the general environment
D) not something that means anything
E) something that is monitored but not followed up on until a consistent pattern is established

Question 11

The key question for the control effort for a firm undertaking an innovation strategy is:

A) What do we do now?
B) Where do we want to be?
C) What do we need to change?
D) Where are we going?
E) What on-coming train is coming?

Question 12

The easiest gap analysis to perform is:

A) financial
B) strategic
C) cultural
D) structural
E) mission

Question 13

The most difficult controls for a technology focused company to implement are:

A) financial
B) strategic
C) cultural
D) structural
E) mission

Question 14

Cultural controls refer to:

A) the culture of the nation in which the firm is located
B) the culture the CEO
C) the ability of the firm to support the cultural standards of the community
D) the ability to get individuals to act in the manner desired
E) the ability of the firm to support cultural activities such as a major art museum

Question 15

The strength of cultural controls comes from:

A) the goals of the firm
B) the relationships among people in the firm
C) the ability to perform a gap analysis
D) the reward/performance connection
E) the level of support of the CEO

Question 16

Focus on gaps between the desired financial outcomes and those actually produced by the firm occurs as part of ____.

A) strategic controls
B) financial controls
C) accounting controls
D) financial analysis
E) profit techniques

Question 17

The three areas where evaluation of gaps typically occurs are:

A) financial, planning, or cultural
B) planning, financial, or strategic
C) financial, strategic, or cultural
D) planning, strategic, cultural
E) financial, implementation, or strategic

Question 18

All of the following are the most common adjustments a firm makes except:

A) Rethink business processes
B) Look for improvements and redesign the innovation process
C) Exit the industry
D) Determine if the goals do not match capabilities and develop new goals
E) Empower people involved in process

Question 19

Who is elected to supervise a publicly traded firm's managers for the shareholders?

A) Chairman of the Board
B) Board of Directors
C) Securities and Exchange Commission
D) Federal Trade Commission
E) National Association of Securities Dealers

Question 20

The Board of Directors should focus on:

A) operational issues at a given plant
B) functional issues such as marketing
C) business level concerns
D) strategic issues
E) macro environmental issues such as lobbying

Question 21

Dr. Edward Deming got his initial success on quality management in:

A) Japan
B) United States
C) Canada
D) United Kingdom
E) France

Question 22

All of the following are points in Deming's 14 points about quality except:

A) cease dependence on inspection
B) institute leadership
C) drive out fear
D) ensure management by objective is implemented consistently
E) remove barriers to pride of ownership

Question 23

Evaluation and control ____ as the organization grows larger.

A) are easier
B) are harder
C) do not change
D) depend more on the SBU
E) depend less on the SBU

Question 24

Evaluation and control typically emphasizes all of the following except:

A) accurate information
B) removal of the individual(s) responsible for the gap
C) identification of what you are measuring in the gap
D) making required adjustments
E) sharing of information

Question 25

A unique structure that results in reporting to two managers is:

A) divisional structure
B) matrix structure
C) functional structure
D) simple structure
E) business structure

Question 26

In what organizational structure are workers organized into professional domains such as accounting, marketing, or manufacturing?

A) Simple
B) Matrix
C) Network
D) Divisional
E) Functional

Question 27

As the organization grows, an entrepreneurial firm typically moves to a ____ structure.

A) hybrid
B) complex organizational
C) functional
D) divisional
E) matrix

Question 28

All of the following should influence the decision on the organizational structure that is employed except:

A) size of firm
B) centralization
C) top management preferences
D) level of standardization
E) formalization in the organization

Question 29

An organizational structure in which a corporation groups its divisions into coherent groups is called ____.

A) hybrid
B) strategic business unit
C) functional
D) divisional
E) matrix

Question 30

As organizations grow:

A) their structure becomes simpler since it has greater specificity
B) functional control becomes critical
C) the CEO has greater control
D) their structure becomes more complex
E) their structure is less of a focus

Question 31

All of the following are decisions that are made to ensure that the firm does not get mired in an innovative strategy except:

A) communicate goals so they are understood and management supports them
B) assess employee skills and assign them to the right jobs
C) don't underestimate internal culture and external environment
D) develop a set of procedure for every situation that is to be followed precisely
E) monitor current situations by setting up a system to do so

Question 32

When an SBU is created all of the following occurs except:

A) A new layer of management is inserted into the organization
B) The organization places less of focus on the entire corporation since the SBUs are now the focus
C) Businesses that are grouped together in the SBU have a reasonable foundation for that grouping
D) The head of each business reports to the SBU head not to the CEO directly
E) Greater bureaucracy is created

Question 33

A firm that builds social capital by being socially responsible:

A) is wasting shareholders value
B) is creating a direct value for the firm
C) is responding typically to its competitions
D) has no impact on firm
E) is creating indirect value

Question 34

Analyzing best practices is:

A) the hardest part of evaluation and control
B) the easiest part of evaluation and control
C) internally focused
D) externally focused
E) typically not done

Question 35

In developing the evaluation and control activities for the firm using an innovation strategy it is important that:

A) managers use agency theory to promote the primary agents agenda
B) information is closely guarded in the organization
C) the goals are built on last year's goals with a small percentage growth built in
D) there is a balance among various approaches to analysis and correction
E) objectives are left vague to take advantage of emergent opportunities

Question 36

The competitive advantage of an innovative strategy is directly related to management capability and the knowledge developed and shared.

Question 37

Evaluation is the determination of how well the organization is meeting its goals.

Question 38

Control is the determination of how well the organization is meeting its goals.

Question 39

The evaluation of gaps between goals and performance typically occurs in three areas - financial, strategic, and cultural.

Question 40

When evaluating a firm's innovation strategy, managers should ask "Where will we end up if we change nothing and continue on our current path?"

Question 41

Gap analysis evaluates whether goals and objectives are being met by outcomes.

Question 42

A unique structure that high technology firms occasionally follow is a matrix structure.

Question 43

Clarity on what to measure is critical in evaluating whether goals are being met.

Question 44

A new organization typically employs a complex structure.

Question 45

Cultural controls refer to the ability to get individuals to act in the manner desired within the firm.

Question 46

While an organization can be innovative and build a new product or develop a new process, the market will determine if the product or process will have a useful life.

Question 47

The environment plays a critical role in the evaluation and control phase.

Question 48

As an organizations grows larger and larger, its evaluation and control becomes easier and easier.

Question 49

Performance requires multiple measures to accurately evaluate.

Question 50

Evaluating goals and outcomes is all that is needed in the firm's evaluation and control effort.

Question 51

The evaluation stage of a firm's actions are built around what three key questions?

Question 52

The three broad types of measures that should be considered in the innovation strategy evaluation and control effort are?

Question 53

If there are gaps found in goals and performance the common adjustments that can be made include:

Question 54

List and explain the three areas where evaluations of gaps typically focus.

Question 55

Discuss the critical decisions that must be made during implementation to ensure the firm does not get mired in an innovative strategy that leads to disaster.

Question 56

When an organization chooses an innovative strategy the organization must then plan, implement, evaluate, and control activities. Describe each of these steps.

Question 57

Discuss Deming's 14 points and their implications.