Question 1

Adequate, timely feedback is important to effective strategy evaluation.

Accepted Answer

Adequate and timely feedback provides crucial information for evaluating the success or failure of a strategy and making relevant adjustments. Without it, it is difficult to determine the efficacy of the chosen strategy and to improve future decision-making.

Question 2

In strategy evaluation, a revised IFE matrix should indicate how effective a firm's strategies have been in response to key opportunities and threats.

Accepted Answer

False

Question 3

Too much emphasis on evaluating strategies may be expensive and counterproductive.

Accepted Answer

While evaluating strategies is important, focusing too much on it may lead to excessive use of resources and time, causing the company to lose sight of its goals and objectives. It is essential to strike a balance between strategy evaluation and execution to achieve desired results efficiently.

Question 4

According to Richard Rumelt, consonance and consistency are based on a firm's external assessment.

Accepted Answer

Consonance and consistency are based on a firm's internal assessment, focusing on aligning strategies with internal capabilities and ensuring coherence in actions and policies.

Question 5

Most strategists believe that an organization's well being depends on evaluation of the strategic-management process.

Accepted Answer

Most strategists believe that evaluation of the strategic-management process is crucial for an organization's well-being.

Question 6

Criteria for evaluating strategies should be measurable and easily verifiable.

Accepted Answer

Measurable and verifiable criteria help to determine the success of a strategy by providing quantifiable data that can be analyzed and compared to predetermined goals or benchmarks.

Question 7

Changes in the organization's management, marketing, finance, R&D and CIS strengths and weaknesses should all be the focus of a revised EFE matrix in strategy evaluation.

Accepted Answer

The answer of Changes in the organization's management, marketing, finance,...

Question 8

Strategy evaluation should have a long-run focus and avoid a short-run focus.

Accepted Answer

The answer of Strategy evaluation should have a long-run focus...

Question 9

Because large companies have more at stake, it is more important for large organizations to conduct strategy evaluation than small companies.

Accepted Answer

Strategy evaluation is important for both large and small companies as it ensures that the business is on the right path to achieving its goals, regardless of its size.

Question 10

When taking corrective action, you need to compare expected results to actual results.

Accepted Answer

The answer of When taking corrective action, you need to...

Question 11

According to Rumelt, consistency and feasibility are largely based on a firm's internal assessment.

Accepted Answer

According to Rumelt, consistency and feasibility are largely based on a firm's internal assessment.

Question 12

Strategies may be inconsistent if policy problems and issues continue to be brought to the top for resolution.

Accepted Answer

If policy problems and issues continue to arise, it is possible that different strategies may be proposed and implemented in order to address them. This can lead to inconsistency in the overall approach taken, as each strategy may have different goals, methods, and outcomes. Therefore, it is important to have a clear and comprehensive policy framework in place that can guide decision-making and ensure consistency over time.

Question 13

Consistency, distinctiveness, advantage and feasibility are Richard Rumelt's four criteria for evaluating a strategy.

Accepted Answer

Richard Rumelt's criteria for evaluating a strategy are consistency, consonance, advantage, and feasibility.

Question 14

Regardless of the size of the organization, a certain amount of management by wandering around at all levels is essential to effective strategy evaluation.

Accepted Answer

Management by wandering around (MBWA) involves managers regularly interacting with employees at all levels of the organization to gain firsthand knowledge of the company's operations and to identify potential areas for improvement. This approach to management is essential to effectively evaluate and adjust the organization's strategy as needed.

Question 15

The decreasing time span for which planning can be done with any degree of certainty is a reason strategy evaluation is more difficult today.

Accepted Answer

The increasing pace of change and uncertainty in the business environment has led to a shorter time horizon for planning and decision-making. This makes it more difficult to evaluate strategies and their potential outcomes with certainty.

Question 16

Strategy evaluation is becoming increasingly easier with the passage of time, given the technological advances.

Accepted Answer

The answer of Strategy evaluation is becoming increasingly easier with...

Question 17

Competitive advantages normally are the result of superiority in one of three areas: feasibility, consistency, or consonance.

Accepted Answer

Competitive advantages normally result from superiority in one or more of the following areas: cost, quality, innovation, customer responsiveness, or speed. Feasibility, consistency, and consonance are not factors typically associated with competitive advantage.

Question 18

Strengths, weaknesses, opportunities and threats should continually be monitored for change because it is not really a question of whether these factors will change but rather when they will change and in what ways.

Accepted Answer

Strengths, weaknesses, opportunities and threats are dynamic in nature and are affected by various internal and external factors. Hence, it is necessary to monitor them regularly to identify any changes and take corrective measures accordingly.

Question 19

Specific financial ratios are rarely used criteria to evaluate strategies.

Accepted Answer

Specific financial ratios, such as return on investment (ROI) and debt-to-equity ratio, are commonly used to evaluate strategies as they provide insight into the financial performance and health of a company. These ratios can help to identify areas where a company may need to make adjustments in order to improve their financial position.

Question 20

The end of the fiscal year is the best time to do strategy evaluation.

Accepted Answer

The answer of The end of the fiscal year is...

Quiz 9: Strategy Review, Evaluation, and Control

Adequate, timely feedback is important to effective strategy evaluation.

In strategy evaluation, a revised IFE matrix should indicate how effective a firm's strategies have been in response to key opportunities and threats.

Too much emphasis on evaluating strategies may be expensive and counterproductive.

According to Richard Rumelt, consonance and consistency are based on a firm's external assessment.

Most strategists believe that an organization's well being depends on evaluation of the strategic-management process.

Criteria for evaluating strategies should be measurable and easily verifiable.

Changes in the organization's management, marketing, finance, R&D and CIS strengths and weaknesses should all be the focus of a revised EFE matrix in strategy evaluation.

Strategy evaluation should have a long-run focus and avoid a short-run focus.

Because large companies have more at stake, it is more important for large organizations to conduct strategy evaluation than small companies.

When taking corrective action, you need to compare expected results to actual results.

According to Rumelt, consistency and feasibility are largely based on a firm's internal assessment.

Strategies may be inconsistent if policy problems and issues continue to be brought to the top for resolution.

Consistency, distinctiveness, advantage and feasibility are Richard Rumelt's four criteria for evaluating a strategy.

Regardless of the size of the organization, a certain amount of management by wandering around at all levels is essential to effective strategy evaluation.

The decreasing time span for which planning can be done with any degree of certainty is a reason strategy evaluation is more difficult today.

Strategy evaluation is becoming increasingly easier with the passage of time, given the technological advances.

Competitive advantages normally are the result of superiority in one of three areas: feasibility, consistency, or consonance.

Strengths, weaknesses, opportunities and threats should continually be monitored for change because it is not really a question of whether these factors will change but rather when they will change and in what ways.

Specific financial ratios are rarely used criteria to evaluate strategies.

The end of the fiscal year is the best time to do strategy evaluation.