Question 1

As the dynamics of competition accelerate, people become a highly significant source of competitive advantage.

Accepted Answer

In a rapidly changing competitive environment, human skills, creativity, and adaptability become crucial for innovation and maintaining a competitive edge.

Question 2

The more homogeneous a top management team, the more likely those managers will be innovative and willing to pursue strategic change.

Accepted Answer

A homogeneous top management team may lack diverse perspectives and ideas, which can hinder innovation and willingness to pursue strategic change. Diversity often fosters creativity and adaptability.

Question 3

The balanced scorecard's perspective on learning and growth is intended to improve the firm's ability to innovate.

Accepted Answer

The learning and growth perspective of the balanced scorecard focuses on enhancing the organization's capacity to innovate, improve, and learn, which supports long-term growth and development.

Question 4

Strategic control focuses on the content of strategic actions rather than their outcomes.

Accepted Answer

Strategic control focuses on the implementation and execution of strategic plans, ensuring that actions are aligned with the organization's goals and objectives. It involves monitoring progress, identifying deviations, and taking corrective actions to ensure that the organization remains on track.

Question 5

Employees usually have a strong preference for firms to use the internal managerial labor market when selecting top management team members and the CEO.

Accepted Answer

Employees often prefer internal promotions as it can lead to better morale, continuity, and recognition of their own career advancement opportunities within the company.

Question 6

When the new CEO is from inside the firm and a heterogeneous top management team is in place, the strategy may not change, but innovation is likely to continue.

Accepted Answer

A new CEO from within the firm is likely to maintain the existing strategy, while a diverse management team can foster ongoing innovation due to varied perspectives and ideas.

Question 7

The experience that results from long tenure in a firm is known to extend the breadth of an executive's knowledge base.

Accepted Answer

The answer of The experience that results from long tenure...

Question 8

Effectively managing the firm's resource portfolio (financial, human, social, and organizational capital) is an important strategic leadership task.

Accepted Answer

Strategic leadership involves making decisions that ensure the effective use of a firm's resources to achieve its goals and maintain a competitive advantage.

Question 9

Transformational leadership is considered to be one of the most effective strategic leadership styles.

Accepted Answer

Transformational leadership is often seen as effective because it inspires and motivates employees to exceed expectations, fosters an environment of innovation, and encourages personal and professional growth.

Question 10

Firm size, firm age, the executive's tolerance for ambiguity, and his or her commitment to strategic outcomes are all factors that may affect managerial discretion.

Accepted Answer

These factors influence the range of choices and actions available to managers, affecting their ability to make decisions and implement strategies.

Question 11

The more heterogeneous and the larger the top management team, the easier it is to implement strategy effectively.

Accepted Answer

A more heterogeneous and larger top management team can lead to diverse perspectives but may also result in conflicts and slower decision-making, making strategy implementation more challenging.

Question 12

Selection of an insider as a new CEO indicates a firm's desire to encourage innovation and strategic change.

Accepted Answer

Selecting an insider as a new CEO often indicates a preference for continuity and stability, as insiders are familiar with the company's existing culture and strategies.

Question 13

As a member of the board at Bered Group, strategic plan development is your number one responsibility, followed closely by succession planning.

Accepted Answer

The answer of As a member of the board at...

Question 14

Strategic leaders are most likely to integrate ethical values into their decisions when the company has explicit ethics codes that are integrated into the business through extensive ethics training.

Accepted Answer

Explicit ethics codes and extensive ethics training help ensure that ethical values are consistently considered and integrated into decision-making processes by strategic leaders.

Question 15

Some companies have a preference for insiders to fill top-level management positions because of the desire for continuity and a continuing commitment to the firm's existing vision, mission, and chosen strategies.

Accepted Answer

Some companies prefer insiders for top-level management to maintain continuity and ensure alignment with the firm's established vision, mission, and strategies.

Question 16

An internal managerial labor market consists of a firm's opportunities for managerial positions and the qualified employees within that firm.

Accepted Answer

An internal managerial labor market refers to the pool of managerial positions and the employees within a firm who are qualified to fill those positions, focusing on internal promotions and career development.

Question 17

Rewarding those who use proper channels and procedures to report observed wrongdoings is an example of an action that should be taken by a strategic leader to develop an ethical organizational culture.

Accepted Answer

Rewarding proper reporting encourages ethical behavior and supports a culture of integrity within the organization.

Question 18

The firm's envisioned future encourages employees to stretch beyond their expectations of accomplishment and requires significant change and progress to be realized.

Accepted Answer

The envisioned future of a firm often includes ambitious goals that push employees to exceed their current capabilities, necessitating substantial change and progress to achieve these objectives.

Question 19

Financial controls provide feedback about outcomes achieved from past actions and predictions about future performance.

Accepted Answer

The answer of Financial controls provide feedback about outcomes achieved...

Question 20

Criteria such as asset utilization improvements and changes in employee turnover rates are part of the internal business processes perspective of the balanced scorecard.

Accepted Answer

The internal business processes perspective of the balanced scorecard focuses on metrics that reflect the efficiency and effectiveness of internal operations, including asset utilization and employee turnover rates.

Quiz 12: Strategic Leadership