Question 1

The processes of formulation and implementation are iterative and interdependent.

Accepted Answer

The formulation of a plan or policy involves identifying goals, objectives, strategies, and actions needed to achieve the desired outcomes. During the implementation phase, these plans are put into action, and progress is monitored to ensure that the objectives are met. However, there may be instances where the implementation phase reveals issues or challenges that were not considered during the formulation stage, requiring a revisit of the formulation process. This iterative process demonstrates the interdependence of formulation and implementation.

Question 2

Strategy implementation often fails because of managers' inability to assess potential implementation obstacles.

Accepted Answer

Strategy implementation requires identifying and overcoming obstacles, and managers who are unable to accurately assess potential obstacles run the risk of failure in implementation.

Question 3

For Lean manufacturing practices to work well in a firm, experts say that the organization's culture must change in significant ways.

Accepted Answer

Lean manufacturing involves a change in the approach to work and the way things are done, which often requires a shift in the organizational culture. This shift involves a focus on continuous improvement, teamwork, and customer satisfaction, as well as a willingness to identify and eliminate waste and non-value-added activities. Without a cultural change, it may be difficult for the organization to fully implement and sustain Lean practices.

Question 4

By and large, firms find it much more difficult to generate new ideas and knowledge than to implement good ideas.

Accepted Answer

Generating new ideas and knowledge can be challenging, but implementing them often involves overcoming practical, financial, and organizational hurdles, which can be equally or more difficult.

Question 5

"Lean" manufacturing process improvement is typically implemented by small scale manufacturers.

Accepted Answer

"Lean" manufacturing process improvement can be implemented by both small and large scale manufacturers.

Question 6

Usually, strategy formulation problems are the source of performance problems.

Accepted Answer

The answer of Usually, strategy formulation problems are the source...

Question 7

Culture can usually be adapted to fit the strategy relatively easily and quickly.

Accepted Answer

Adapting culture to fit a new strategy is often a complex and time-consuming process that requires significant effort and resources. It may require changes to organizational structures, systems, values, and behavior patterns, as well as regular monitoring and communication to ensure that the new culture is embraced and sustained over time.

Question 8

In today's business climate there are two types of companies, "the quick" and "the dead."

Accepted Answer

This statement emphasizes the importance of agility and adaptability in the current business world. Companies that can move quickly and adjust to changes in the market have a better chance of thriving, while those that are slow to react may struggle or fail.

Question 9

Lean manufacturing helps to create an environment where people know what is expected and perform their duties without having to be reminded.

Accepted Answer

Lean manufacturing emphasizes clear communication and standardized work processes, which helps to create a culture of accountability and responsibility among employees. As a result, people are empowered to take ownership of their tasks and perform their duties with minimal supervision or reminders.

Question 10

An explanation for the knowing-doing gap is that the strategy-formulation process isn't usually shared with stakeholders who will be integral in rolling out the strategy.

Accepted Answer

When stakeholders are not involved in the strategy-formulation process, their understanding and ownership of the strategy may be limited. This can result in a knowing-doing gap because they may not be fully committed to executing the strategy or may not have a clear understanding of how to implement it. Therefore, involving stakeholders in the strategy-formulation process can help bridge the knowing-doing gap.

Question 11

Strategists may face both internal and external obstacles.

Accepted Answer

Strategists may face internal obstacles such as resistance from employees, lack of resources, or conflicting priorities among departments. They may also face external obstacles such as changes in market conditions, regulatory constraints, or competition from other companies.

Question 12

Formulation is the process of aligning the five elements of the strategy diamond.

Accepted Answer

Formulation is the process of aligning the five elements of the strategy diamond, which include arenas, differentiators, vehicles, staging and pacing, and economic logic. This ensures that the strategy is comprehensive, coherent, and effective in achieving the desired outcome.

Question 13

A strategy is only as good as its execution.

Accepted Answer

A strategy can be well thought out and planned, but if it is not executed properly, it will not lead to the desired results. Therefore, the success of a strategy depends on its execution.

Question 14

Neither formulation nor implementation can succeed without the other.

Accepted Answer

Formulation refers to the process of conceptualizing an idea or plan, while implementation pertains to the actual execution of that plan. Both are equally important and interdependent. Without a well-formulated plan, implementation will not succeed, and without proper implementation, even the best plan will not be effective. Therefore, neither can succeed without the other.

Question 15

Firms with weak shared values are usually better at implementing strategies.

Accepted Answer

Firms with strong shared values are usually better at implementing strategies as they have a common understanding and commitment towards achieving the company's goals. Weak shared values can lead to conflicting opinions and lack of motivation among employees which makes it difficult to implement a strategy effectively.

Question 16

The difference between what firms know and what they do is referred to as the learning gap.

Accepted Answer

The difference between what firms know and what they do is typically referred to as the "knowing-doing gap," not the "learning gap."

Question 17

One of the least important external implementation obstacles is a firm's culture.

Accepted Answer

A firm's culture can have a significant impact on the implementation of external strategies, as it can shape employees' attitudes towards change, willingness to collaborate with external partners, and overall receptiveness to new ideas and approaches. Ignoring culture as a potential obstacle can undermine successful implementation.

Question 18

The most successful firms often adjust strategies and execution according to feedback from the implementation process.

Accepted Answer

The most successful firms understand the importance of feedback and adjust their strategies and execution accordingly during the implementation process. This enables them to stay on track, make necessary changes and improve performance.

Question 19

Lean manufacturing allows firms to reduce the "road blocks and speed bumps" that get in the way of their ability to quickly add value.

Accepted Answer

Lean manufacturing practices aim to eliminate waste, reduce production time, and improve product quality. By doing so, firms can enhance their ability to add value to the final product and reduce the obstacles that hinder production efficiency. Therefore, the statement is true.

Question 20

Lean manufacturing practices allow companies to decrease the speed of operations to a more normal pace.

Accepted Answer

This statement is false. Lean manufacturing practices aim to minimize waste and optimize efficiency. One way this is achieved is by eliminating any unnecessary steps in the production process, which may increase the speed of operations. However, the focus is not solely on speed but on creating a seamless and efficient process.

Quiz 11: Organizational Structure, Systems, and Processes