Continuous learning Economies of scale and huge advertising budges are just as effective in the new competitive landscape as they were in the past. In a diversified firm, corporate-level strategy is concerned with Your long-term goals and/or BHAGs. a. defining the boundaries of the pool. c. the minimum required for survival in virtually any industry. d. All of these options are correct, Strategic delegation helps (Check all that apply.). strategic objectives. Strategic Management - Your Article Library b. the complex set of ideologies, symbols, and core values that are shared throughout the firm. the culmination of the strategic management process is: Strategic Management - Definition, Process, Steps, Examples After executing the environmental analysis process, management . The second step in the strategic management process is ______. b. d. skilled employees. b. mission Average returns are those in excess of what an investor expects to earn from other investments with a similar amount of risk. Your mission statement. The 5-Step Strategic Management Process | Indeed.com d. abilities; strategies. Explain Strategy formulation. True/False, Organizational stakeholders are the firm's internal resources, capabilities, and core competencies that are used to accomplish what may appear to be unattainable goals in the competitive environment. Establish your planning team and schedule. True/False, Resources are considered rare when they have no structural equivalent. (PDF) A critical analysis of strategic management process - ResearchGate The ______ view of stakeholder management views the management process as groups competing for the organization's resources. b. achieve strategic competitiveness. . incorporates both short-term and long-term perspectives, Which of the following are key attributes of strategic management? (Check all that apply.). The mission of IIM Lucknow is to improve management systems with regard to business, industry and public services through pursuit of excellence in management education, research, consultancy and training. Strategic Management. c. focus on strategy implementation. True/False, Relative power is the most critical element for prioritizing the demands of stakeholders. C) strategy formulation. For example, Apples decision to create the iPhone demonstrates its ability to interpret that traditional industry boundaries that distinguished the cellular phone industry and the computer industry were beginning to blur. a. 3. Strategic management adheres to the perspective that what might be seemingly ideal for one functional area of an organization might not be in the best interest of the total organization. The is the most critical criterion in prioritizing stakeholders. d. The firm uses straight-line depreciation. b. is an internally focused affirmation of the organization's financial, social, and ethical goals. Strategic Management by Reed Kennedy is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License, except where otherwise noted. A firm's vision, mission, and strategic objectives are used to develop specific goals, which form the basis for its ______. This activity is important because proper use of strategic management techniques . d. government regulators. Solved The strategic management process begins with | Chegg.com a. anthropology. a. (Check all that apply. Synthesizing the information gained in the external and internal analysis into a SWOT framework is addressed in Chapter 5. The 5 stages of the strategic management process. Disruptive What Is Strategic Management? Characteristics, Risk, Nature - Geektonight b. d. attractiveness; profitability. b. success, weakness, opportunities, and taxes. a. competitive resilience Above average returns are those in excess of what an investor expects to earn from other investments with similar stock prices. determines how organization as a whole supports and enhances the value of the business units w/in it. b. television one business-level strategy and one corporate-level strategy. 2 St rategy formul at ion a nd i mp leme nt ati on in t he st rat e gi c mana ge me nt p roce ss Strategic management. Which of the following state the goals and intentions that help define a firm's competitive advantage? d. sustainable market niche. b. determining how each functional department of the firm will operate. b. b. strategy implementation. d. social value of each stakeholder. The strategic management process is a six-step process that encompasses (covers) strategic planning, implementation, and evaluation. Pearce and Robinson, 1988. Performance of a firm is most directly attributable to: the profitable of the industry in which the firm competes, Firms use the five forces model of competition to identify the ___ of the industry. Strategic management is the effective handling of a firm's resources to achieve its set objectives and goals. Strategy Implementation in Strategic Management Process Is is measure by its ___. Strategic flexibility The CEO of Ridgeway, Inc., realizes that the company's survival depends on developing and acquiring knowledge. The Princeton Alliance Church states in its website that "PAC exists to help you live life to the fullest by knowing God, developing community and bringing hope." The manager of Healthy Snack Division of Fairfax Industries is evaluated on her division's return on investment and residual income. a. vitally important at the point where a domestic firm enters the global market. Financial markets often place an emphasis on managers meeting ______ performance goals. McDonald's has been able to a. earn above-average returns. A sustainable competitive advantage is not achieved through operational effectiveness alone. Find the future value of an annuity due of $\$ 12.000$ annually for three years at $3\%$ annual interest. How much interest was earned? Effective strategic leaders are chosen based on: their capabilities and accumulation of human capital over time. 5. By following this process, organizations can ensure their plans are aligned . To implement a strong strategy effectively, an experienced . a. strategic mission. Return b. the three processes are highly interdependent. c. one business-level strategy for failure. Sue prefers the Red Shuttle because it gets her to the airport in an hour and a half, while the Blue Shuttle takes $80$ minutes. Australian market continued to be attractive for existing operators based on . The Culmination of the Strategic Management Process Is Environmental Scanning 2. 1x1+x\frac{1\ -\ \sqrt{x}}{1\ +\ \sqrt{x}} True/False. True/False, A firm's mission tends to be enduring while its vision can change in light of changing environmental conditions. The process of implementation of strategy starts with the identification of key managerial tasks which form the basis for the creation of strategy starts with the identification of key How to Implement a Strategic Management Process [2023] Asana Knowledge is composed of all of the following(expertise, information, intelligence) except: Which of the following statements about organizational knowledge is correct? The profit pool is the The modern competitive environment requires an iterative approach to strategic management where execution informs planning and planning guides execution. (Check all that apply.). Want to create or adapt books like this? Methods by which strategies are operationalized or executed within the organization; it focuses on the processes through which strategies are achieved. d. A goal, Strategic leaders are Research shows that approximately___percent of a firm's profitability is explained by the industry in which it competes, whereas It is important to emphasize that, primarily because they are related to how a firm interacts with its stakeholders, almost all strategic management process decisions have Chapter 8 Selecting Corporate-Level Strategies focuses on selecting corporate-level strategies, and Chapter 9 Competing in International Markets presents possibilities for firms competing in international markets. Which of the following actions by the CEO would be most consistent with this need? 7 Main Steps in Process of Strategic Management (Explained) c. strategy formulation. Which statement about the triple bottom line is true? a. a. Perpetual The strategic management process is the systematic analysis of an organization's internal and external environment to achieve and retain a competitive advantage. Strategy formulation is the next step in the strategic management process. 1.4 The History of Strategic Management local line leader -> have significant profit-and-loss responsibility. Which of the following is the most inclusive term for the individuals, groups, and organizations that have a claim in the success of an organization? To implement a firm's strategies, the firm takes actions with the goal of achieving strategic competitiveness and above average returns. The annual cash bonus paid to division managers is 1 percent of residual income in excess of $100,000\$ 100,000$100,000. b. strategy implementation. d. organization's stakeholders. d. competitive dominance. How do you think the economic growth of developing countries will affect you and your family in the future? c. knowledge intensity. c. calls for firms to focus on their homogeneous capabilities to compete against their rivals. Managers must determine how to create a(n) ______ advantage in the marketplace to be successful over the long-term. True or false: The most effective organizations have strong leaders at the top who make all the decisions that the rest of the organization then carries out. True/False, Ms.Smith is a strategic leader of the firm. It's widely recognized as a key part of Strategic Portfolio Management (SPM) processes and tools, and while ultimately, it's about delivering the initiatives, it's not just blindly following a plan in the hope that you'll end up in the right place. b. Consistent failure to achieve this minimum target is grounds for the dismissal of a division manager. As we have noted in this introductory chapter, strategic management is both an art and a science, and it involves multiple conceptualizations of the notion of strategy drawn from recent and ancient history. ______ innovation is a term used to describe how rapidly and consistently new, information- intensive technologies replace older ones. Effective strategies Apple uses to create loyal customers. ______ analysis is the starting point of the strategic management process and includes the advanced work that must be done to effectively formulate and execute strategies. Strategy ______ consists of decisions made by firms regarding investments, commitments, and other aspects of operations that create and sustain a competitive advantage. It involves action plans that ensure continued performance and thriving progression. True/False, Research shows that a greater percentage of a firm's profitability is explained by the I/O rather than the resource-based model. b. The culmination of the strategic management process is a. performance. Firms use both the ______ and ______ models. The 6 stages of the Strategic Management Process c. speed Understanding the Strategic Management Process True/False, Risk in terms of financial returns reflects an investor's uncertainty about economic gains or losses that . c. weak competitors in the industry. Strategic management is a process that involves building a careful understanding of how the world is changing, as well as a knowledge of how those changes might affect a particular firm. What Is Strategic Management? - Strategic Management Firms use both the _____and______models. c. profits that are accrued when a firm earns above-average returns. In strategy formulation, ______ activities are designed to create new value and is a major engine for economic growth. Between 2008 and 2010, Apple filed more than 350 cases with the US Patent and Trademark Office to protect its use of such terms as apple, pod, and safari (Apple Inc.). Strategic management involves setting objectives, analyzing the competitive environment . During the ______ step in the strategic management process, managers answer two questions: what industries should we compete in and how should we compete in those industries? (. STRATEGIC MANAGEMENT PROCESS: F i gu re 10. It is a philosophical approach to business. As this title implies, Sun Tzu emphasized the creative and deceptive aspects of strategy. Strategic management is a process that involves building a careful understanding of how the world is changing, as well as a knowledge of how those changes might affect a particular firm. It assists the firm in becoming proactive, rather than reactive, to make it analyse the actions of the competitors and take necessary . ______ should establish a firm's individuality and should be inspiring and relevant to all stakeholders. A classic management tool that incorporates the idea of scanning elements both external and internal to the firm is SWOT (strengths, weaknesses, opportunities, and threats) analysis. c. determine whether an industry will be viable in the long term. Sound strategies are of no value if they ______. The firm's provide the foundation for choosing one or more ______ and deciding how to implement them. a. the key factor in success is choosing the correct industry in which to compete. (2014, November 29). A firm's vision, mission, and strategic objectives form a hierarchy of . In the strategic management process ASP stands for Managers execute or implement their decisions as ______ in the third step of the strategic management process. The ___ is the most critical criterion in prioritizing stakeholders. Strategic management is the process of finding and describing the strategies used by management to improve the financial performance of a company, particularly in comparison to competitors in the same sector. Strategic Management - Definition, Importance and Need of - Harappa Strategic Management Flashcards | CourseNotes True/False, Customers, suppliers, unions, and local governments are examples of capital market stakeholders. Which of the following best explains a ratio of "net sales to average net fixed assets" that exceeds the industry average? a. c. the I/O model. c. obtaining reliable products at the lowest possible price. YouTube. d. The Internet. The first step in the strategic management process is to evaluate where you're going, and why. Figure 1.8: Shirinsokhan, Mahmoudreza. Strategic management is the organization's analysis, decision-making, and actions to create and maintain a competitive advantage (Gurel Emet, 2017;Tapera, 2014). For example, intellectual property is a vital resource for Apple. d. a charity's endowment of $400 million. This is because the organization's role as a taxpayer is most important to as stakeholders. It is a process that requires a systematic . ______ is an investor's uncertainty about the economic gains or losses that will result from a particular investment. (Check all that apply. a. size; number of competitors. What is Strategic Management? Definition, Process, Types, Advantages a. flexibility d. total profits that can be divided among the competitors within an industry. d. is developed by a firm before the firm develops its vision. c. Global Return a. performance. UMT360's Strategy Execution Management solution. internal environment, external environment, & strategic goals, Which of the following are evaluated during the analysis process of strategic management? d. culture. a. at the top of the organization coordinating and integrating activities within the firm and with suppliers and customers, Strategy implementation involves ______. ), what business(es) should the company compete in. CEOs, such as late Apple-founder Steve Jobs, must be able to carefully manage the possible actions that their firms might take to deal with changes that occur . (Michael, R, & Robert, 2009, p.6) Tiger Airways Australia was chosen as the object of study. The strategies planned often fail in the process only due to inefficient implementation processes. The strategic management process is. Key Elements of Strategic Management | FounderJar The resource-based model of the firm argues that a. are willing to be brutally honest. Product market stakeholders include the firm's customers, and the principal concern of this stakeholder group is: obtaining reliable products at the lowest possible price. a. Risk in terms of financial returns reflects an investor's uncertainty about economic gains or losses that will result from a particular investment. Strategic management can also be described as a bundle of decisions and acts which a manager undertakes and which determine the result of the business's performance. b. regardless of their location in the organization c. hypercompetition; technology diffusion. Strategic Management Advantages and Disadvantages - Wisestep d. the amount and speed of growth. how your business plans to achieve it goals and improves and sustains it position in the industry. d. the firm's chief executive officer, A prominent national accounting firm runs television advertisements showing an accountant working alone late in the office on a client's project, while clenching a long-stemmed rose in his teeth and grinning ecstatically. At this stage, your strategy is already in action and you need to measure the effectiveness of the strategy. - Resource analysis to select workforce and assign suitable tasks. d. a school board lacking in core competencies. a. culture b. tighten loan covenants. b. a decision-making activity concerned with a firm's internal resources, capabilities, and competencies, independent of the conditions in its external environment. d. located at different levels, but only in the operating area of the organization, . Formulation of strategies; Environment and organizational appraisal help to find out the opportunities and threats operating in the environment and the strengths and weaknesses of an organization in order to create a match between them. The two opposing ways of examining stakeholder management are called ______ and ______. In this latter case, performance is the result of a rare event that is itself the culmination of a long and ongoing process of daily . Typically, the formulation process starts with an assessment of available resources, an industry analysis to assess the competitive environment in which the company operates . Describe whether each of the following statements makes sense (or is clearly true) or does not make sense (or is clearly false). The resource-based view of the firm d. critically important mainly in high technology industries. Match the type of leader (on the left) with the corresponding description (on the right). Strategic Management is a stream of decisions and actions which lead to the development of an effective strategy or strategies to help achieve corporate objectives. It should seek to diversify. It involves assessing the external environment, developing a strategic plan, executing it, measuring its success, and tweaking it as necessary. Organizational stakeholders include The steps for identifying the profit pools in an industry include all of the following EXCEPT c. Sustainable competitive advantage c. 36; 20 The last stage of the strategic management process includes diligent monitoring and review of all the processes that contribute to achieving the business goal. True/False, Examples of incremental innovations include iPods, PDAs, WiFi, and web browser software. In fact, these models complement each other in that one focuses outside the firm while the other focuses inside the firm.